Mixed price action for the Japanese yen this week, battling weak Japanese economic updates, a state of emergency extension, and against early positive risk sentiment.
Yen bulls were able to put together a rally at the end of the week on negative risk sentiment flows, but unfortunately it wasn’t enough to get into a net positive gain into the weekend.
Japanese Headlines and Economic data
Global risk sentiment swung positive to start the week as countries begin to reopen their economies, lifting the risk currencies higher against the yen through Wednesday.
Volatility on the session for the yen picked up, initially higher with no apparent catalyst but then turned lower, likely on continued positive sentiment (reopening of economies & positive results from early Gilead trials for remdesivir)
The Japanese yen rallies during the Friday session as global risk sentiment shift negative, likely on headlines that the U.S. is looking to take action against China like new tariffs and as U.S. equities fell during the Friday session, lead by weakness in Amazon.