Yahoo Finance 
USD/JPY Flat Despite Increased Foreign Investment In Japan Last Week
THE TAKEAWAY:Foreign investors increased buying of Japanese bonds and stocks > Likely a risk-averse move > USD/JPY Flat
The Japanese Yen edged slightly higher against the US Dollar immediately after data showed an increase in foreign investment in Japan last week. Foreign investors poured net ¥261.8 billion into Japanese bonds and ¥479.7 billion into stocks, which suggests demand for Japanese assets could be rising. However, this data did not seem to have significant impact on USD/JPY as the pair recovered shortly after the release.
US indicators tied to employment scheduled for release after the holiday will likely be movers of the pair as they will influence investors’ outlook and risk sentiment. Following today’s positive ADP employment change data, a NFP figure meeting expectations of adding 165 thousand and an unemployment rate of 7.5 percent could move USD/JPY higher. Both figures for June are scheduled for release on Friday at 12:30 GMT.
USD/JPY (5-Minute Chart)
Source: FXCM Marketscope
—Jimmy Yang, DailyFX Research Team
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.
Learn forex trading with a free practice account and trading charts from FXCM.
