When it comes to the situation in Japan and its currency there are also some changes that were noticed by the traders and investors. Since the Presidential Elections in the United States of America, the Yen has become a rollercoaster, as the critics say. Right after the run of weakness against the Greenback, the Japanese Yen and American Dollar alongside the price actions made a decision to continue their retracements. In fact, it was all started in the very first week of the current year after Trump became the President of America.
However, some people may have their opinion they want to express by giving comments – despite the fact that the weakness of Japanese currency lasted only more than five weeks. At the same time, the current retracement has been lasting for over the fifteen weeks. However, we haven’t retraced more than a half of the Japanese Yen move inspired by new President of US. Apparently, it is somewhat around ¥110.00.
When it comes to the “Trump Trade” we also have some information that we got when we personally asked BoJ about being confident in the prospects of new trade by an American president that is likely to be continued. It is not quite likely that Bank of Japan was going to go away from an accommodative stance which was caused by the weakness of the currency of Japan – Yen.
All these moves were, apparently, caused by the story made up at the Bank earlier this year. This was made right after the surprisingly bad and unexpected movement towards the negative rates that seemed to work not too well. Despite all of that, the Bank wasn’t ready to move away from their decision they made in March. According to the latest information, this week we have received the Summary of different opinions which only confirmed the BoJ not being ready to leave their global buying efforts.