USD/JPY Fundamental Analysis – December 1, 2015 – Forecast

Analysis and Recommendation:

The USD/JPY dipped 7 points to trade at 122.73 after BoJ Governor Kudora addressed traders this morning and Japanese retail sales soared above expectations while industrial production tumbled again. Bank of Japan Governor Haruhiko Kuroda told business leaders on Monday the central bank won’t hesitate to further ease monetary policy to achieve its two percent inflation goal quickly, and that stable yen moves were desirable.

Japanese economic data released early on Monday were upbeat, in contrast with weak price and spending data released last week. Japan’s industrial output rose for a second straight month in October and retail sales grew much faster than expected.

The Federal Reserve is widely tipped to hike U.S. interest rates at its mid-December policy meeting, though Fed Chair Janet Yellen could use a speech on Wednesday to steer markets either way.

Also Friday, the key U.S. payrolls report will be even more closely watched than usual It could cement expectations that the Fed will deliver its first hike in almost a decade, or lead investors to pare back dollar bets.

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 up to the data analysis and information in our weekly reports.

Today’s economic releases:

 

Upcoming Economic Events that you should be monitoring:

Tuesday, December 1, 2015

Government Bond Auctions

Date Time Country

Dec 01 11:30 UK 1.5% 2021 Gilt auction

Dec 02 16:30 Sweden Announces details of Bond on 11 Dec

Dec 03 10:30 Spain Auctions

Dec 03 10:50 France Auctions OATs

Dec 03 11:03 Sweden Holds I/L bond auction

Dec 04 11:03 Sweden Holds I/L bond auction