JPY collapses to 6-month low vs USD; market pricing in Japan's Abe headlines

FXstreet.com (Barcelona) - Japan opposition leader Mr. Abe, who might become Japan's next Prime Minister if he wins the next Japanese elections on Decemeber 16, had not enough reassuring the market that he will command the BoJ to pursue 'unlimited' easing in order to achieve an incredibly ambitious 3% inflation target, he also, via Reuters, just mentioned he would like to instruct the BoJ to set rates at 0 or negative in order to enhance lending in the country.

The Japanese Yen has been sold-off heavily as savvy buyers get busy pricing in so many promises by the candidate to replace Japan PM Mr. Noda at the helm of the Japanese Government. USD/JPY has broken through a long-held trendline coming from 101.00, with the spot rate hitting 80.80, a level not seen since early May. According to FXWW Founder Sean Lee, "a clean break through the technical resistance at 80.65 - happening - and there should have us buying dips for 84.00..."

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