News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • Entry orders are a valuable tool in forex trading. Traders can strategize to come up with a great trading plan, but if they can’t execute that plan effectively, all their hard work might as well be thrown out. Learn how to place entry orders here: https://t.co/1mnOXUuBpt https://t.co/kloJCFmJty
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here: https://t.co/vg7w10la3j https://t.co/wwxKQFibW6
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am EST on DailyFX! A look at the levels heading into #FOMC - https://t.co/lxd5fZnn4H
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here: https://t.co/8A1QhwMVKo https://t.co/Nx6AHxZksK
  • Markets Week Ahead: Euro, Dollar, Gold, S&P 500, Earnings, Inflation Check out @RichDvorakFX's latest market recap and preview plus all the weekly forecasts from the @DailyFXTeam at the link below! Link to Analysis - https://www.dailyfx.com/forex/fundamental/forecast/weekly/title/2021/07/25/markets-week-ahead-euro-dollar-gold-sp500-fed-earnings-inflation.html $EURUSD $SPX #Trading
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/xKkBwu951j
  • The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It is also referred to as the monthly market mover. Find out why it has been given this nickname here: https://t.co/yOUVEEqhc5 https://t.co/MYWlQphqtb
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here: https://t.co/QszmdZFxlk https://t.co/paOy1oQmn3
  • US indices have a packed week ahead with earnings from the major technology names, US GDP data due and an FOMC rate decision. With so much on the docket the potential for volatility is heightened. Get your stock market forecast from @PeterHanksFX here: https://t.co/CH4WoStHvu
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/otJwnuR7qe
Trump-Focused Yen Shrugs at Punchy Leading Index

Trump-Focused Yen Shrugs at Punchy Leading Index

David Cottle, Analyst

Talking Points

  • Two snapshots of Japanese economic performance bettered their highs for 2016 in November
  • However, the Yen failed to make any hay on this good news
  • Despite their timely reputation, even these numbers may now be too historic for markets squarely focused on Donald Trump

The Japanese Yen failed to capitalize Wednesday on news that two measures of local economic performance held to be more timely than most hit their highest levels for 2016 in November.

Japan’s national Leading Index came in at 102.7. That was just above the 102.6 level which markets had looked for and well above October’s 100.8 print. The index melds twelve sub-indexes focused on the current state of things like inventory ratios and machine orders.

And it didn’t come alone.

The Coincident Index is based on a similar composite of indicators and was released at the same time. It rose to 115.1 in November, from 113.5 in the previous month. Taken together the two suggest perhaps what markets already suspected: that the stronger US Dollar in the aftermath of Donald Trump’s election to the Presidency has been great news for Japanese exports.

The Yen had been in a fairly tight range through Tokyo’s morning session and these data did nothing to broaden that either way. Across Asia markets seem to be hunkering down before a key speech from the US President-elect, with Japans being no exception. The speech is expected to include some of the broad-brush policy outlines for which rapt markets are clamouring across the globe. However, it will come after Asian markets close on Wednesday and investors here seem inclined to stand clear if they can, until they see the colour of Mr. Trump’s money.

The US Dollar actually inched higher against the Yen in the aftermath of these numbers, in-line with its overall performance through the morning. USD/JPY got up to 116.117, from 116.039 just before they were released.

Meandering before the President-elect: USD/JPY

Trump-Focused Yen Shrugs at Punchy Leading Index

Chart compiled using TradingView

How’s the first-quarter going to go? DailyFX analysts put it on the line. Check out their forecasts here.

--- Written by David Cottle, DailyFX Research

Contact and follow David on Twitter:@DavidCottleFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES