Can the yen continue to gain across the board despite the BOJ’s threats of stimulus?
Check out what’s up in Japan’s economic calendar this week!
- Japan’s economy is heavy on manufacturing and exports so these reports could inspire volatility
- Preliminary machine tool orders (Mar 10, 6:00 am GMT) will the value of new orders placed with machine tool manufacturers in February
- BSI manufacturing index (Mar 11, 11:50 pm GMT), a survey of large manufacturers, could fall further from -7.8 to -10.2 in Q4 2019
- Annualized PPI (Mar 11, 11:50 pm GMT) is expected to drop from 1.7% to 1.1% in February while the monthly reading could see a 0.3% decrease after a 0.2% uptick
Market risk sentiment
- COVID-19 updates and news on the affected industries will continue to affect the safe haven yen’s price action
- Top-tier market events like the ECB’s policy announcement, U.S. CPI, China’s CPI, and the U.K.’s post-Brexit budget news can also affect overall risk taking
- RSI flags JPY as “overbought” against AUD, CAD, GBP, NZD and USD on the daily time frame
- Except for CHF/JPY, ALL major yen crosses are trading below their short AND long-tem SMAs on the daily
Missed last week’s price action? Read JPY’s price recap for March 2 – 6!