Yen Traders Look Forward to Tankan Report

The Japanese Yen weakened across the board today despite an improvement in industrial production and labor cash earnings.

Earnings have been on the rise for the past 2 months which is very encouraging because weak wage growth has been the main reason why Japanese consumer spending is depressed. This evening we are expecting the Quarterly Tankan report. Business confidence should slip given the slowdown in the global growth and the recent appreciation of the Japanese Yen.