The Yen are getting stronger, at least for now
Monday, November 16th, 2009 |
Being a forex trader requires one to read a lot about the world economics. It’s not just about technical view, where you set your entry and exit point, it’s about looking at the big picture. What happen here, might effects the other side. A slump in the greenback might benefit other major currencies such as Euro, Pound and also Yen.
Yen has somehow demonstrate a strong comeback lately. The major factor accelerating this growth is the increasing demand in their domestic product. The said indicator has rose to an unpredicted 4.8% annually for the second time this year. This alone representing more than 0.6% grew in the Japs economy.
This has resulted in higher price in their domestic products. Tokyo is already the most expensive city to shop at, and adding to this, it doesn’t help much especially if you’re from Malaysia.
While this is good for the yen, experts are predicting a slower pace next year. Other than that, stimulus spending from governments all over the world are likely to take effects on the first quarter of next year. If you are long for USD against the Yen, next year should be promising.
