JPY: under pressure. Overview for 03.08.2022

August 3, 2022

Article By RoboForex.com

After moving away from its 8-week low, USDJPY is recovering.

The Japanese Yen is falling against the USD on Wednesday. The current quote for the instrument is 133.17.

The Yen was in demand when the US bond yield was plunging and the “greenback” was getting weaker, but these tendencies are now over. Nevertheless, the Yen managed to run away from its 8-week lows.

Another factor that supported the Japanese currency was market players’ demand for “safe haven” assets.

Speaking about currency exchange rates yesterday, the Japanese Minister of Finance said that the Yen’s recent dynamics were rather uncontrollable. To make the financial system look stable, currency exchange rates should be stable and reasonable, backed by fundamental indicators.


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The Yen might get under pressure if the Bank of Japan keeps the benchmark interest rate negative and provides no insight into what will happen to the Japanese economy in the future.

A bit later, investors will understand what is happening to the Yen right now: whether it’s a rebound from the highs or a proper reversal in favour of the devaluation scenario.

Article By RoboForex.com

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

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