USD/JPY (current price: 115.28)
Japanese Core Machinery Orders beat the consensus estimate with a monthly rise of 4.1%. Analysts expected a gain of 1.3%, but the weakness of the Yen might have boosted orders in November. The PPI Index and Industry Activity were in line with expectations in the same period. The Yen remained weak during the Asian session, despite the slightly bullish numbers. The Yen finished lower compared to most of its peers except the USD, after the cross reached a new high again in the morning.
Our assessment: USD/JPY is still inside a strongly rising trend, despite the bearish reversal on Monday. The FED-decision this week might bring more volatility for the pair.
