In times of recession, although some claim that the recession has ended already, the strength of currencies is very important for nations to maintain their economic power. While a strong dollar can damage the revival, and make imports more expensive as well as exports, Japan and the USA and Europe have had to deal with the amazing rise of the Yen over the last months.
Earlier this year the Yen reached its strongest point in 15 years compared to the USD but the currency did not stay as high and would soon drop again. One of the problems for Japan was that half of its exports to China are invoiced in yen, thus making its products less attractive. Luckily the country did not have to look for a credit loan and the Yen dropped in value again. Even though last week nations have stepped up and announced a verbal intervention to save the Yen. We looked at how the Yen grew this strong and its history. We also compared the Yen to other international markets and looked at its market share.
With thanks to Infographiclabs for another awesome graphic.
