The Japanese economy keeps feeling the external pressure caused by the global economic slowdown. Therefore, the Bank of Japan will have to become more attentive when monitoring the impact of the fluctuations in the JPY market on the national economy. This is the conclusion made by the central bankers during the latest quarterly meeting.
According to Masaaki Shirakawa, Governor of the Bank of Japan, the global economic situation has recently improved a little as more investors are more willing to invest in risky assets. However, negative scenarios are still capable of manifesting themselves.
At the same time, Mr. Shirakawa underlines the fact that the Japanese authorities have increased the pressure on the central bank as the crisis is escalating. The central bank is expected to revise the economic forecast and to expand the bond purchase program during the forthcoming meeting scheduled for October 30th.
Forex.
The chart below, courtesy of , reflects the current state of affairs in the market of USDJPY. The Japanese Yen is weakening against the US Dollar. The closest levels of resistance are 79.99, 80.30, 80.49.
