The yen has appreciated by as much as 10 per cent against the US dollar, as Japanese investors repatriate funds, as normally occurs in these type of situations (Graph 9). More surprisingly, the euro has also appreciated against the US dollar.
There is also further evidence that economic activity in the euro area continued to expand strongly after the third quarter of last year. While euro area estimates for the fourth quarter of 1999 are not yet available, data for individual Member States point to continued robust output growth.