Asian session: The yen weakened beyond 105 per dollar

01:30 Japan Labor Cash Earnings, YoY November +0.1% +0.4% +0.5%

The yen weakened beyond 105 per dollar for the first time since October 2008 on speculation the Bank of Japan will keep easing monetary policy to sustain a recovery as the Federal Reserve pares its debt purchases.

Japan’s currency headed for a nine-week drop, the longest loss since February, after data yesterday showed initial U.S. jobless claims fell more than economists forecast. It slid to a five-year low against the euro as Asian stocks rose for a ninth day, reducing the appeal of the yen as a haven. The majority of analysts polled by Bloomberg News see the BOJ increasing bond buying by June next year.

Japan’s industrial production expanded less than economists forecast last month. The preliminary figure released by the government today showed factory output gained 0.1 percent from October, compared with a median estimate for a 0.4 percent increase in a Bloomberg poll.

The nation’s consumer prices excluding fresh food rose 1.2 percent in November from a year earlier, official figures also showed today. The BOJ is targeting 2 percent inflation in 2015.

Australia’s dollar was set for a 10th weekly decline, the longest streak in more than three decades.

EUR / USD: during the Asian session, the pair rose to $ 1.3745

GBP / USD: during the Asian session, the pair rose to $ 1.6445

USD / JPY: during the Asian session, the pair rose to Y105.00