By Candice Zachariahs and Ron Harui Sept. 8 (Bloomberg) -- The yen rose to a 15-year high against the dollar on speculation the Federal Reserve’s Beige Book business survey will add to evidence the U.S. economic recovery is stalling. Japan’s currency climbed versus all its major counterparts after a report showed the nation’s current-account surplus widened in July by more than economists expected, underscoring the yen’s value as a refuge in times of economic turmoil. The euro traded near a record low against the Swiss franc before a report forecast to show German exports stagnated in July. The Australian dollar rose toward a four-week high before a report tomorrow that may show the country added jobs for a sixth month. “There are lingering worries the U.S. economic recovery may be tepid,” said Tsutomu Soma, a bond and currency dealer at Okasan Securities Co. in Tokyo. “This is a negative for the dollar. The yen is being bought, partly because Japan has a current-account surplus.” The yen rose to 83.49 per dollar as of 6:16 a.m. in London from 83.83 yesterday in New York, after advancing to 83.35, the strongest level since May 1995. Japan’s currency climbed to 106.06 per euro from 106.32, after appreciating to 105.80, the highest level since Aug. 24. The euro traded at 1.2820 francs from 1.2825 yesterday when it dropped to 1.2811, the weakest since the 16-nation currency was introduced in 1999. The euro was at $1.2707 from $1.2682. Beige Book The Fed will today release its survey of conditions in its 12 districts before officials meet to review monetary policy on Sept. 21. The U.S. jobless rate is likely to approach 10 percent in coming months as the economy fails to grow enough to employ people rejoining the labor force, according to economists surveyed by Bloomberg. Japan’s current-account surplus expanded 26 percent from a year earlier to 1.68 trillion yen ($20 billion), the Ministry of Finance said, surpassing the 1.54 trillion yen surplus forecast by economists in a Bloomberg survey. Germany’s exports were unchanged in July after increasing a revised 3.7 percent the previous month, the Federal Statistics Office will say today according to a Bloomberg News survey. The yen has advanced 16 percent this year in the biggest gain among developed-world counterparts, according to Bloomberg Correlation-Weighted Currency Indexes. The euro has dropped 10 percent, and the dollar is up 2.8 percent. Intervention Concern Gains in the yen were tempered after Japan’s Finance Minister Yoshihiko Noda told reporters he is prepared to take “bold” steps on currencies if necessary. Noda told reporters in Tokyo that the government is watching markets closely and potential measures to counter the yen’s appreciation include intervention in markets. “There may have been some players who sold the yen on his comments,” said Hisanao Sasaki, vice president of foreign exchange at Oversea-Chinese Banking Corp. in Singapore. The Australian dollar gained versus the greenback on speculation tomorrow’s jobs report will give the central bank more reason to resume raising interest rates. The number of people employed rose by 25,000 in August and the jobless rate fell to 5.2 percent from 5.3 percent, the statistics bureau will say tomorrow according to a Bloomberg survey. The Reserve Bank of Australia kept rates on hold for a fourth month yesterday. “The employment data continues to surprise on the upside,” said Jonathan Cavenagh, currency strategist at Westpac Banking Corp. in Sydney. “The market is underestimating the chance of further tightening over the next 6 to 12 months, and that’s something that will support Aussie on any pullbacks.” Australia’s dollar climbed 0.2 percent to 91.26 U.S. cents, after rising to 91.81 cents on Sept. 6, the highest since Aug. 9. Malaysian Ringgit The Malaysian ringgit rose the most in a week on optimism Asian economies will keep attracting investment as regional growth outpaces the U.S. and Europe. A report tomorrow will show industrial production rose 5.7 percent in July from a year earlier, following a 9.4 percent increase in June, according to a Bloomberg survey. Malaysia’s central bank left interest rates unchanged this month to support growth after raising borrowing costs three times this year. “The problems in the U.S. and Europe should continue to benefit emerging-market assets,” said Lam Chee Mun, who helps manage about $200 million at TA Investment Management Bhd. in Kuala Lumpur. “Asian economies are still doing okay despite an expected slowdown.” The ringgit rose 0.4 percent to 3.1143 per dollar, after reaching 3.1098 on Sept. 6, the strongest since October 1997. To contact the reporters on this story: Candice Zachariahs in Sydney at czachariahs2@bloomberg.net; Ron Harui in Singapore at rharui@bloomberg.net.

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