USD/JPY- 9th to 13th March in Focus
The bullish dollar increased against the Japanese yen on Friday because the strong United States employment data boosted the expectations of the Feds increasing the interest rate by June.
The high expectation for an increased interest rate is fuelled by the hike in US jobs to 295,000, rising above the forecasted value of 240,000 that was expected in February. Hence, resulting to a reduction of the unemployment rate in US by 5.5 percent down.
United States dollar against the Japanese yen climbed to the height of 121.27, the highest value for about three months now. It finally rested at the value of 120.80, going up 0.57 percent at the close of Friday.
United States dollar index, the factor that shows the strength of the dollar when compared to the six other main currencies, rose up to 97.647, rising up at 1.3 percent more than previous values before Friday.
The Euro against the US dollar reduced 1.69 percent down to 1.0841, affected by the European Central Bank decision to start buying Eurozone government bonds.
The Euro against the Japanese yen reduced 1.16 percent to 1130.96 in late trade on Friday, this has been its least value since the last week of January.
This week, investors will observe some events that will affect currency rates and here these events are brought into focus for the week as follows:
On Monday 9th March, there is a meeting of the Eurozone finance ministers in Brussels for Greece talks. Japan will also publish report about its economic growth and current account details.
Tuesday does not have any event affecting currency rates.
Japan’s factory orders detail is to be published on Wednesday 11th March.
On Thursday 12th March the retail sales data of the United States will be released, this will clarify the economic recovery level of the nation.
Finally, on Friday 13th March, the United States will publish its consumer spending and producer’s pricing data.
The data from these publications will determine the climate of foreign exchange market for the week, as all investors are focused on them while betting.