USD/JPY Fundamental Analysis December 12, 2012, Forecast

By:

Updated: Aug 21, 2015, 00:00 UTC

Analysis and Recommendation: The USD/JPY is trading this morning at 82.33. As markets await the outcome of the Federal Reserve two day meeting and

USD/JPY Fundamental Analysis December 12, 2012, Forecast

Analysis and Recommendation:

The USD/JPY is trading this morning at 82.33. As markets await the outcome of the Federal Reserve two day meeting and negotiations to avoid the US Fiscal cliff, the US dollar has weakened as traders expect the FOMC to extend Operation Twist. While in Japan, the Bank of Japan, continues to inject additional stimulus to help prop up the economy. Political uncertainties in Japan weigh on the currency with front runner Shinto Abe the most likely successor to Prime Minister Noda, keeps traders on edge with his economic platform and his vision of the Bank of Japan and inflation rates.

This morning, the Japanese trade deficit, printed slightly better than expected although markets paid little attention after the monthly data dump over the weekend showed that Japan was in recession.

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.

Economic Data December 11, 2012 actual v. forecast

Date	Currency	Event	Actual	Forecast	Previous
Dec. 11	GBP	RICS House Price Balance	-9%	-7%	-7%
	AUD	NAB Business Confidence	-9		-1

Upcoming Economic Events that affect the AUD, NZD, JPY and USD

Date	Time	Currency	Event	Forecast	Previous
Dec. 12	13:30	USD	Import Price Index (MoM)	-0.5%	0.5%
	19:00	USD	Federal Budget Balance	-147.5B	-120.0B
Dec. 13	23:50	JPY	Tankan Large Manufacturers Index	-10	-3
Dec. 14	04:30	JPY	Industrial Production (MoM)		1.8%