Dollar near 7-1/2-month high versus yen as central bankers reaffirm policy divergence

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Dollar near 7-1/2-month high versus yen as central bankers reaffirm policy divergence
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The U.S. dollar hovered near a 7-1/2-month high against the Japanese yen after the heads of the respective central banks reaffirmed the stark divergence in their policy paths at a European Central Bank conference overnight.

Japanese yen and U.S. dollar banknotes are seen in this illustration picture taken June 15, 2022. REUTERS/Florence Lo/Illustration

By contrast, Ueda reiterated that "there's still some distance to go" in sustainably achieving 2% inflation accompanied by sufficient wage growth, the conditions the BOJ has set for considering an exit from ultra-easy stimulus. The U.S. dollar index - which measures the currency against six major peers, including the yen, euro and sterling - was little changed at 102.94, after climbing 0.46% overnight.

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