On Wednesday, the USD/JPY pair is trading to the downside a bit as the Yen found support.
In the middle of the week, the Japanese Yen is starting to recover against the USD after several unsuccessful trading sessions. The current quote for the instrument is 111.24.
The All Industry Activity Index published today increased by 2.1% m/m in April after losing 0.7% the month before. The components of the report show that the main contribution was made by the Construction (expanded by 7.3% m/m) and the Industrial Production (added 4% m/m after losing 1.9% m/m in the previous month).
According to the survey conducted by Reuters, the main problem for Japanese companies and enterprises is still a domestic demand, which is rather low. This is an issue for almost 40% of Japanese business entities, from large enterprises to medium-sized ones. Other 34% lack the choice of qualified employees. There are two directions for attracting investments, China and the USA, equally important.
The Japanese Yen started moving upwards as soon as the market’s attitude to the USD “turned south”. The EUR/USD calmed down at 1.1130 and didn’t leave its mid-term trading range, thus providing the Yen with an opportunity to stabilize a bit.
RoboForex Analytical Department