Friday, November 12, 2010

JPY: Yen returns the position with increasing risk aversion

Japanese yen, in a sense, out of sight, given that the focus of the forex market during the second half of the week were the euro, the dollar and the yuan. Nevertheless, after Chinese shares fell by 5% per night, as the return of risk aversion, the yen has again become interesting from this point of view, while the Treasury only started to believe that the pressure on the yen has stopped. USD / JPY pair has returned to 82 this morning, and EUR / JPY below 112, AUD / JPY has fallen by almost 2%. Tokyo fears stem from the fact that the market is once again preferred to yen, the dollar during the period of risk reduction. The hope is that if risk aversion continues, the dollar becomes more preferable than the yen, otherwise, the Bank of Japan may need to re-"get out".

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