EUR/JPY Weekly Fundamental Analysis, October 6-10 2014, Forecast

Weekly Analysis and Recommendations:

The EUR/JPY  ended the weak on a flat note but well below its trading range at 137.40 as the JPY declined ahead of this week’s BoJ meeting and last week’s ECB decision.  Japan’s government moved to address mounting concerns about the weakening yen by pledging assistance for small companies, as the central bank governor said the decline wasn’t a minus for the economy.

The trade ministry last week unveiled an initiative pressing large businesses to assist small firms to pass on rising input costs, aiding broader plans to kindle sustained inflation in an economy marred by two decades of stagnation.

The BOJ’s policy of monetary easing leading to a weak yen is mistaken and further declines in the currency may lead to market intervention, former finance minister Hirohisa Fujii said in an interview on Oct. 1.

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.

Historical: From 2011 to Present

 

Highest: 143.00 JPY on September 2014

Average: 109.45 JPY over this period.

Lowest: 94.12 JPY on Jul 24, 2012

Events You Should Be Monitoring This Week:

CAD                      Ivey PMI

NZD                      NZIER Business Confidence

JPY                        Monetary Policy Statement

AUD                      Cash Rate

AUD                      RBA Rate Statement

JPY                        BOJ Press Conference

GBP                       Manufacturing Production m/m

CAD                      Building Permits m/m

USD                      FOMC Meeting Minutes

AUD                      Employment Change

AUD                      Unemployment Rate

GBP                       Asset Purchase Facility

GBP                       Official Bank Rate

GBP                       MPC Rate Statement

USD                      Unemployment Claims

EUR                      ECB President Draghi Speaks

CAD                      Employment Change

CAD                      Unemployment Rate

Upcoming Government Bond Auctions

Date Time Country 

Oct 07 06:00 Swiss Announces details of optional bond auction on Oct 08

Oct 07 09:00 Norway Bond auction

Oct 07 09:15 Austria RAGB auction

Oct 07 9:30 UK Auctions 3.5% 2045 Gilt

Oct 07 15:30 Italy Announces details of BOT auction on Oct 10

Oct 07 17:00 US 3Y Note auction

Oct 08 09:30 Germany Eur 4.0bn Oct 2019 Bobl auction

Oct 08 09:30 Swiss Bond auction (for decision)

Oct 08 15:30 Italy Announces details of BTP

Oct 08 17:00 US 10Y Note auction

Oct 09 09:03 Sweden I/L bond auction

Oct 09 17:00 US 30Y bond auction

Oct 10 09:10 Italy BOT auction