The Japanese yen rose against other major currencies on Wednesday as risk appetite waned. Investors are becoming more risk-averse due to concerns about the global economic outlook and ongoing trade disputes.
The yen is often seen as a safe-haven asset, benefiting during times of uncertainty. As investors reduce their exposure to riskier assets, they tend to move capital into the yen, driving up its value.
Other factors potentially contributing to the yen’s strength include:
- Geopolitical tensions
- Concerns about rising inflation in some countries
- Uncertainty surrounding central bank policies
The yen’s performance reflects a broader trend of investors seeking safety in a volatile global market.
