EUR/JPY Fundamental Analysis – November 12, 2015 – Forecast

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Published: Nov 11, 2015, 04:48 UTC

Analysis and Recommendations: The EUR/JPY is trading at 1.3225 gaining 17 points as the euro recovered after falling to a new low on Tuesday. Both

EUR/JPY Fundamental Analysis – November 12, 2015 – Forecast

Analysis and Recommendations:

The EUR/JPY is trading at 1.3225 gaining 17 points as the euro recovered after falling to a new low on Tuesday. Both currencies are weak as central banks in both countries are considering additional stimulus in December. A survey report from Japan’s Cabinet Office showed the first improvement in three months in sentiment among so-called economy watchers for October.

If gross domestic product data for July-September show the economy remains sluggish, stimulus measures are expected to be announced by the end of this month, a major securities firm official said. The data is due for release Monday.

At Wednesday’s meeting of the Council on Economic and Fiscal Policy, the group was also set to call for measures to boost the productivity of small and medium-size firms and thereby help them to raise wages. The members will urge the state to slash corporate tax to below 30 percent next fiscal year, the sources said.

The government has pledged to reduce corporate income tax from the current rate of 32.11 percent in stages. It is relatively high by international standards, and reducing it would help companies compete better globally.

At last week’s council meeting, Prime Minister Shinzo Abe instructed ministers to compile new economic stimulus measures to attain the government’s GDP goals.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more recent analysis and information in our weekly reports and we provide daily updates and outlooks.

Today’s economic releases:

Cur.	Event	Actual	Forecast	Previous
NZD	RBNZ Gov Wheeler Speaks
USD	API Weekly Crude Oil Stock	6.300M	0.500M	2.800M
AUD	Westpac Consumer Sentiment	3.9%		4.2%
CNY	Fixed Asset Investment (YoY) (Oct)		10.2%	10.3%
CNY	Industrial Production (YoY) (Oct)		5.8%	5.7%

Upcoming Economic Events that you should be monitoring:

Thursday, November 12, 2015

Cur.	Event	Actual	Forecast	Previous
NZD	Business NZ PMI (Oct)			55.4
GBP	RICS House Price Balance (Oct)		45%	44%
AUD	Unemployment Rate (Oct)		6.2%	6.2%
EUR	German CPI (MoM) (Oct)		0.0%	0.0%
EUR	Industrial Production (MoM) (Sep)		-0.1%	-0.5%
USD	Initial Jobless Claims		270K	276K
USD	FOMC Member Bullard Speaks
USD	JOLTs Job Openings (Sep)		5.370M	5.370M
USD	Crude Oil Inventories		0.752M	2.847M
USD	FOMC Member Dudley Speaks
USD	Federal Budget Balance (Oct)		-130.0B	91.0B