JPY: Any weakening of the yen will be smoothed

Yesterday's unexpected weakening of the Bank of Japan has confirmed that any weakening of the yen will be smoothed. USD / JPY went down to 83.05 in early trading in London. The continuing weakness of the dollar - the main reason, plus speculative rumors that the Fed will introduce additional quantitative easing at the next meeting in four weeks. Summary data on payrolls this Friday will have a critical influence on the Fed's decision, and a growing sense that the figures will again be weak.



In this regard, the day the results of ADP employment in October will again be scrutinized, as they continue to be a good indicator of job creation in the private sector.
On the eve of G7 finance ministers and central bankers have a good chance that the Bank of Japan will refrain from further intervention, and focus on central banks and monetary policy. On the background of the continuing weakness of the dollar would be great if USD / JPY pair is not traded on the level of fifteen-year minimum in 82.88, reached last month in the coming days.

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