Cookies help us deliver our services. By using our services, you agree to our use of cookies.
Learn more Got it
Dakar 2017
Roboforex is an official sponsor
of "Starikovich-Heskes Team"
at the Dakar 2017
Home / Analytics / Forex analysis & forecasts / Forex Fundamental analysis / The Yen is too volatile. Overview for 09.11.2016
Ask a question
Did not find the information you need? Ask your questions and get answers online!
Enter chat
Or enter your phone number in the form below and we will call you right away.
Call back




The Yen is too volatile. Overview for 09.11.2016

09.11.2016
The USD/JPY pair is taking the results of the American presidential elections too heavily; investors need a “safe haven”.

On Wednesday, the Japanese Yen is extremely volatile because of the results of the presidential elections in the USA. Intraday fluctuations are more than two patterns. The current quote for the instrument is 103.43.

Basically, the USD has already eliminated the quick strengthening of the Yen in the morning; the pair fell to 101.19 with big volumes. Trump’s leading the presidential race made investors increase the demand for “safe haven” currencies, and the Yen, as usual, took the stage. The last time the pair moved this way was in summer, when the market was nervous because of the Brexit.

Yoshihide Suga, the country’s current Chief Cabinet Secretary said on Wednesday morning that the country’s authorities were ready to implement measures in case the price of the national currency would fluctuate greatly. Capital markets still haven’t clearly understood possible consequences of Trump’s winning the elections for the American economy and the rest of the world. Right now, only one thing is very clear: the 45th US president won’t be boring at all.  

The Cabinet and the Central Bank of Japan have enough tools for decreasing the volatility, but the key word here is “time”, because any interventions will have a short-term effect only. The market may calm down by Friday, but until then fluctuations will continue.
 
RoboForex Analytical Department

Dear reader!

Without authorization, you can view no more than two reviews per day and no more than 10 per month. To continue reading analytical reviews, register or login to your Members Area.

Attention!

Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.