JPY Forex Weekly Archive
Daily Economic News -May 09, 2008
Yesterday, JPY crosses saw neutral results as the daily trend was very calm. With a halt in any Japanese news this week due to the Golden Holidays week, the Asian powerhouse has been subject to external news and movement in the markets. The Japanese Yen has been reacting to investment houses' orders since no Japanese economic news have been released this week. With inflationary pressures at nearly a decade high, many investors believe that the Bank of Japan and its new leadership will be forced to raise the lending rate. Market makers have begun to notice indicators that hint for such future change coming within the next year. Today, the first Japanese economic figure of the week will be announced as overall economic health will be predicted by the Leading Index. Following last month's 54.5%, a significantly lower value of 20.0% is expected to be released today. The value forecasted by experts combined with the very high price of Crude Oil could cause the Yen to see a bearish trend.Daily Economic News -May 08, 2008
Yesterday, JPY crosses saw bearish results, as the Japanese currency reacted toward a rising trend of risk aversion throughout the Forex market. With a halt in any Japanese news this week due to the Golden Holidays week, the Asian powerhouse has been subject to external news and movement in the markets. Similar to the Euro-Zone, the Japanese economy is juggling rising inflationary pressures and a stall to any consistent growth within its National economy. With such inflationary pressures at nearly a decade high, many investors believe that the Bank of Japan and its new leadership will be forced to raise the lending rate. Market makers have begun to see futures movement that shows such a change coming within the next year by almost 100%. Until the return of the JPY to the news cycle, investors should expect to see mixed results as the currency reacts toward outside events.Daily Economic News -May 07, 2008
Yesterday the JPY lost ground against most of the major currencies, and the USD/JPY closed at approximately the rate it opened. The Yen's movement during the day was fairly notable, including a 55 pip change in the USD/JPY. Since Friday news halted out of Japan due to the long holiday week. The lack of news is expected to continue until this coming Friday, with the publication of the relatively minor indicator, the Leading Index. On Saturday, the major Japanese banks publicized the loss of 1.7 trillion JPY which was affected by their undertaking of sub-prime-mortgage debts. Furthermore, in the concluding year, the Tokyo Stock Exchange lost 29.2% in the aggregate market value of firms. These two factors hurt the weakening Yen. Investors ought to be aware that Japan has championed a currency swap valued at $80 billion with the 10- member Association of Southeast Asia. The swap was initiated in order to avoid type of crisis similar to the 1997-1998 Asian financial disaster. Today we will likely see the continuation of yesterday's JPY trading, as investors will have to be wary of JPY bearishness trend. Consequently, Forex traders should pay close attention to the subtleties of the Japanese economy as well as major economic and political news from elsewhere in the world.