The Yen continues to recover. Overview for 17.01.2017

The USD/JPY pair is retreating; the Yen is recovering using the market situation.

The Japanese Yen is getting more expensive against the USD on Tuesday afternoon. The main catalyst is the market situation – very few people want to support the USD before the inauguration of Donald Trump and in anticipation of his future speech. The current quote for the USD/JPY pair is 112.94.

According to the today’s statistics, the revised November report on the Industrial Production showed the improvement by 1.5% m/m, thus matching the initial report. On YoY, the indicator expanded by 4.6%, just as expected.

The Bank of Japan published another report with economic projections for different regions of the country. They increased for Tokai, Tohoku, and Kanto-Koshinetsu. For other six regions, projections remained the same. The reason for the revision was expectations for growth of the demand for the goods of the corresponding regions and areas due to emerging states’ interest.  

It appears that right now the Yen is recovering “a contrario”. The USD is vulnerable, because the previous speech of Trump made absolutely no impression upon market players and they have reasonable doubts about how his ambitious plans will be implemented.

RoboForex Analytical Department