USDJPY slowed down its decline; the USD is recovering after the “stress called Trump”.
The Japanese Yen stopped rising against the USD; right now, the pair is consolidating. The current quote for the instrument is 107.34.
Yesterday, the USD hit the turbulence due to official investigation of presidential impeachment against Donald Trump. Investors’ focusing on political events and risks raises concerns that the problem wouldn’t be solved easily. Even more tensions were caused by Trump’s complaints against China relating to trade wars and currency manipulations. All these factors didn’t make the USD attractive and increased demand for the Yen as a “safe haven” asset.
This morning, the Bank of Japan reminded that it was ready for the country’s economic stimulus in case the economy really needed that. The stimulus should be applied to the inflation trend, but not to any other purposes. When doing this, the regulator intends to closely watch what is happening to other economies, so that it could make suitable decisions in time.
It is believed that the Yen may be pretty volatile in the nearest future due to high political risks.
Orgin: RoboForex
