The Japanese Yen fell to a one month low against all of the majors except for the British pound and US dollar.
The only piece of Japanese data released overnight was the all industry activity index which was right in line with expectations. Carry trades have resumed their correlation with the Dow as the movements today reflect a minor return of risk appetite. The bulk of Japanese data due out next week will be on Thursday, which is when we will receive labor market, consumer spending and inflation data. Most of these numbers are expected to be weak and not likely to help the Japanese Yen recover its gains.
Written by Kathy Lien, Chief Currency Strategist of DailyFX.com