JPY Daily News

Japanese Yen Strengthening from Global Economic Weakness

The JPY is currently experiencing appreciation across the boards. This bullish momentum is explained by most analysts as a result of unwinding carry trades. As the global economy weakens further, especially with signs such as the U.S. economy injecting another $800 billion into markets, major economies the world over are cutting interest rates and weakening their currencies to boost investment. This results in investors selling off their higher yielding assets which were funded with JPY and helping to boost the Japanese currency to new strengths.

Looking at today's trading there will be very little news from Japan about the future of its economy. The most significant data will be released at 23:50 GMT as Japan releases the minutes from its Monetary Policy meeting. However, as already stated above, the factor moving the Yen may not be found in Japanese economic data, but rather in the strength of the global economy. As the world's economy weakens, the JPY may likely continue to gather momentum, possibly breaching the 92.00 level.

Current Time: 05/27 02:22 GMT

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#	Time	$€£¥	Event	Per.	Prev.	Fore.	Act.	Imp.
11/26
	08:00	JPY	BoJ Governor Shirakawa Speaks		*	*	*
	23:50	JPY	Monetary Policy Meeting		*	*	*