JPY Daily News

JPY Appreciates Against All the Majors

After a long while, the Yen may have signaled its recuperation week after strengthening on all fronts. The USD/JPY pair was traded above the 100.00 level throughout most of the week, and the GBP/JPY dropped beneath the 146.00 level.

Last week as predicted, the Bank of Japan (BoJ) decided to keep its Interest Rate at 0.10%, the lowest in the industrial world. The main objective of the low Interest Rate is to keep the JPY weak, as the Japanese leadership puts it faith in the hope that a weak Yen will support Japanese exports, which in turn may be the primary tool to pull the economy out of recession. However, it seems that the low Interest Rate's effect has diminished, and now the JPY might be strengthening again. In this case, the BoJ is likely to use every trick in the book in order to keep its local currency's value as low as possible, and traders who'll catch their plans on time, could gain significant profits from this.

As for this week, the most significant publication from the Japanese economy will come on Thursday, as the Tertiary Industry Activity is expected at 23:50 GMT. This survey, which measures the change in the total value of the services purchased by businesses, is expected to drop by 0.7%. Such a result is likely to generate bearish trends for the JPY's pairs and crosses, as a decrease in business activity usually signals a turn for the worst in the local economy. A breach of the 101 resistance level is possible for the second week in a row.

Current Time: 05/27 02:27 GMT

Add events to google calendar Mark all Unmark all Print

#	Time	$€£¥	Event	Per.	Prev.	Fore.	Act.	Imp.