The yen weakened for a second day and neared a 2 1/2 year-low against the dollar after Prime Minister Shinzo Abe urged Bank of Japan (8301) Governor Masaaki Shirakawa to double the central bankâ€™s inflation goal.
Shirakawa said yesterday the BOJ was in close cooperation with the government, raising speculation policy makers will boost stimulus when they meet Jan. 21-22. Japanâ€™s currency slid against all of its major peers before data forecast to show the nationâ€™s trade deficit widened. The euro remained lower before the European Central Bank meets today following two days of declines. Australiaâ€™s dollar gained after Chinaâ€™s exports and imports grew more than estimated.