Sure, the Yen is overly weak on a trade-weighted basis BUT it is the least weak versus the USD! E.g., For any intervention to be effective it ought target just about any other high yielding spread/pair EXCEPT for the USD! Having established that, it is still far more likely that any intervention would target the USD/JPY directly than the rest, if for no other...
The trade-weighted dollar index was introduced in 1998 for two primary reasons. The first was the introduction of the euro, which eliminated several of the currencies in the standard dollar index; the second was to keep pace with new developments in US trade. In the standard US dollar index, a significant weight is given to the euro. To more accurately reflect...
www.rbnz.govt.nz Just want the TV community to be aware of this fundamental change to the Kiwi across the board. cid:image003.jpg@01CEAD68.470EA830 15 December 2015 Updated weights for Trade-Weighted Index The annual re-weighting of the Trade-Weighted Index (TWI) will take effect on Wednesday 16 December 2015. The TWI is a measure of the value of the...