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Daily Report: Yen Sold off as BoJ Expands QE, European Lower after Moody's DowngradeThe Japanese yen is sharply lower after BoJ unexpectedly expanded it's quantitative easing program today. BoJ left rates unchanged at 0-0.1% as widely expected. But, the bank unexpectedly expanded the quantitative easing problem from JPY 55T to JPY 65T. Under the program, the bank will buy government and private debt and lends funds against various types of collateral. And, the additional fund of JPY 10T would be used for purchases of long-term government bonds. In addition, BoJ will set consumer inflation target of 1%. USD/JPY jumps sharply and is back pressing 78 level after the release. | |
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USD/JPY Daily OutlookDaily Pivots: (S1) 77.37; (P) 77.58; (R1) 77.76; More.... USD/JPY's rise from 76.02 resume today and reaches as high as 77.95 so far. Intraday bias is back on the upside for 78.28 resistance. As noted before, the strength of the rise from 76.02 is starting to argue that choppy fall from 79.52 is finished at 76.02. Break of 78.28 resistance will signal that whole rebound from 75.56 is resuming for another high above 79.52. On the downside, though, below 77.36 minor support will mix up the near term outlook and turn bias neutral first. |
Economic Indicators Update | Don’t miss the largest investor and trader gathering in the WorldThe World MoneyShow Orlando, February 9-12, 2012 at the Gaylord Palms Resort. Be there as recommendations and advice are revealed for how to best position your portfolio for profitin 2012 and beyond. Register Free Today! | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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