USD/JPY Sinks on US Election, Ignores Japan EcoWatchers Survey
- A closely watched Japanese sentiment survey ticked up in October
- However the more upbeat mood past markets by
- Trump’s electoral lead has seen insatiable Yen demand and a Nikkei collapse
The Yen continued to strengthen against the US Dollar on Wednesday, fixated on the US election and hardly pausing to notice that a key economic survey came in stronger.
The Economy Watchers survey index increased to 49.30 in October from 44.80 in September, the Cabinet Office reported.
The index measures the current mode of businesses that directly service consumers. Think taxi drivers, waiters and the like. The data are put together from a survey of about 2,000 such workers.
Still, a reading above 50 is needed to indicate overall optimism so, despite the monthly uptick, pessimism still dominates.
Then again, it usually does. The survey has averaged 44.54 between 2000 and 2016.
Japanese markets let the data pass them by, fixated on the US presidential election and Donald Trump’s growing lead over market-favorite Hilary Clinton.
Haven demand for the Yen saw the greenback down to 101.209, having peaked above 105 earlier in the session.
The Nikkei was down more than 1000 points.
USD/JPY: A falling knife
Chart produced using Trading View
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