The Japanese yen finishes a very quiet week as a net loser, mostly influenced by counter currency flows and global risk sentiment.
Japanese Headlines and Economic data
- Japanese economy ends fourth quarter in stagnation: Flash Manufacturing PMI Dec. 48.8
- Early week positive global risk sentiment sinks the yen early, sparked by news that China’s factory, retail sectors shine as trade tensions thaw.
- Japanese trade deficit widened from 0.05T to 0.06T JPY as expected
- Japan to trim annual govt bond issuance next fiscal year
- A bit of a broad move lower in the yen against the majors, possibly on a positive shift in global risk-on sentiment. There doesn’t seem to be a direct catalysts, but this could have stemmed from news of improving Asian business sentiment and China’s central bank adding more liquidity to ease monetary conditions.