Investing.com - The dollar rose against the yen on Monday on growing sentiment the Bank of Japan will further stimulate the economy by weakening the yen via easing measures.
In Asian trading on Monday, USD/JPY hit 79.15, up 0.16%, up from a low of 79.11 and off a high of 79.25.
The pair sought to test support at 79.00, the low from May 18, and resistance at 80.55, the high on May 16.
Japan's first-quarter domestic product growth figures beat expectations recently, growing 1% in from the fourth quarter.
The country's GDP shrank 0.2% in the fourth quarter.
However, the economy has not fully recovered from the devastating 2011 earthquake and tsunamis while Europe, a key export market, remains mired in economic uncertainty, threatening to send Japan posting trade deficits.
The Bank of Japan has said it would expand a bond-back program by JPY10 trillion to weaken the currency and assist the country's vital export-driven economy, and expectations that further easing policies will continue sent the yen falling.
The yen, meanwhile, was down against the pound and down against the euro, with GBP/JPY up 0.25% and trading at 125.31 and EUR/JPY up 0.36% and trading at 101.36.
Later during the day, Japan is set to release its All Industries Activity Index, which measures the monthly change in overall production by all sectors of the Japanese economy and provides a glimpse into economic growth.
In Asian trading on Monday, USD/JPY hit 79.15, up 0.16%, up from a low of 79.11 and off a high of 79.25.
The pair sought to test support at 79.00, the low from May 18, and resistance at 80.55, the high on May 16.
Japan's first-quarter domestic product growth figures beat expectations recently, growing 1% in from the fourth quarter.
The country's GDP shrank 0.2% in the fourth quarter.
However, the economy has not fully recovered from the devastating 2011 earthquake and tsunamis while Europe, a key export market, remains mired in economic uncertainty, threatening to send Japan posting trade deficits.
The Bank of Japan has said it would expand a bond-back program by JPY10 trillion to weaken the currency and assist the country's vital export-driven economy, and expectations that further easing policies will continue sent the yen falling.
The yen, meanwhile, was down against the pound and down against the euro, with GBP/JPY up 0.25% and trading at 125.31 and EUR/JPY up 0.36% and trading at 101.36.
Later during the day, Japan is set to release its All Industries Activity Index, which measures the monthly change in overall production by all sectors of the Japanese economy and provides a glimpse into economic growth.