Bank of Japan faces surge in US dollar demand

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Source: Bloomberg

Demand for one week Japan's US dollar loans have rocketed 25 times as six central banks reduced greenback borrowing costs, reported Bank of Japan (BOJ). Japanese central bank announced it has approved all the offers for one-week dollar loans amounting to $25 m, and will demand fixed rate at 0.6%. To compare, on November 29 BOJ provided same maturity dollar loans at 1.08% totalling $1m.

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