The USD/JPY pair remained aggressively bearish as the pair hovers near post-war lows, where the Japanese yen enjoys the strongest performance against the majority of its major counterparts on concerns over the global economic outlook.
Fears over Europe’s debt crisis increased demand for the safest assets, in addition to the Federal Reserve which assured the loose monetary policy and pledged to keep the interest rate at all time low till mid-2013.
The USD/JPY pair is now trading near pre-intervention levels, which fueled fears of another intervention from the BOJ, especially with the ongoing slump across global bourses which increased demand for safe haven currencies like green back and the Japanese yen.
On Friday at 04:30 GMT,Japanwill release the industrial production for June, where the previous reading was 3.9%, as for the annual reading it had a prior reading of – 1.6%.
At 12:30 GMT, the U.S. economy will release the advanced retail sales for July, where the previous reading was 0.1% and expected to come at 0.4%. The University of Michigan confidence for August will be released at 09:55 GMT, where the preliminary reading is expected to come at 63.2 from the previous of 63.7.
The U.S. business inventories for June will be released at 10:00 GMT, where it had a previous of 1.0% and expected to come at 0.6%.