Weekly Analysis and Recommendation: The USD/JPY fell 18 points to trade at 107.65 after comments from the Bank of Japan helped support the currency. The
The USD/JPY fell 18 points to trade at 107.65 after comments from the Bank of Japan helped support the currency. The pair gained momentum as the US dollar recovered losses. Japan’s currency gained versus most of its 31 major counterparts this week, buoyed by risk-averse investors as stocks and commodity prices tumble. The dollar fell 0.2 percent to 107.66 yen, boosting a weekly decline of 1.9 percent, the first since the period ended Aug. 8.
A strong yen is probably in the country’s national interest, Eisuke Sakakibara, a former policy maker and now professor at Aoyama Gakuin University, said in an interview with Reuters today. The yen fell the most since January 2013 against the dollar last month.
A deputy managing director at the International Monetary Fund, said the Bank of Japan needs to manage expectations on a 2 percent inflation target that looks out of reach. Flexibility on achieving the target during the fiscal year starting April 2015 would be supportive for the yen because it would quell speculation that the bank will boost stimulus to meet the goal.
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: 110.11 on September, 2014
Average: 83.18 over this period
Lowest: 75.58 on Oct 31, 2011
Upcoming Major Economic Events for the week of Oct 13-17, 2014
Time |
Cur. |
Imp. |
Event |
Actual |
Forecast |
Previous |
|
Monday, October 13 |
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|
|
Holiday |
Japan – Health-Sports Day |
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|
|
Holiday |
Canada – Thanksgiving Day |
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CNY |
Trade Balance (Sep) |
|
41.00B |
49.83B |
|
||
Tuesday, October 14 |
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GBP |
CPI (YoY) (Sep) |
|
1.4% |
1.5% |
|
||
Wednesday, October 15 |
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|
CNY |
CPI (YoY) (Sep) |
|
1.7% |
2.0% |
|
|
|
GBP |
Average Earnings Index +Bonus (Aug) |
|
0.7% |
0.6% |
|
|
|
GBP |
Claimant Count Change (Sep) |
|
-35.0K |
-37.2K |
|
|
|
USD |
Core Retail Sales (MoM) (Sep) |
|
0.3% |
0.3% |
|
|
|
USD |
PPI (MoM) (Sep) |
|
0.1% |
|
|
|
|
USD |
Retail Sales (MoM) (Sep) |
|
-0.1% |
0.6% |
|
|
Thursday, October 16 |
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|
EUR |
CPI (YoY) (Sep) |
|
0.3% |
0.3% |
|
|
|
USD |
Philadelphia Fed Manufacturing Index (Oct) |
|
19.9 |
22.5 |
|
|
Friday, October 17 |
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|
USD |
Building Permits (Sep) |
|
1.030M |
1.003M |
|
|
|
CAD |
Core CPI (MoM) (Sep) |
|
|
0.5% |