Analysts at CIBC, explained that the Japanese economy has not disappointed so far during 2019 and is one factor why investors are holding long JPY positions.
“Japan’s economy remains slow and plodding, but no more so than had been expected at the start of the year. In fact, Japanese growth expectations have been slightly upgraded since January 1st, unlike the often large downgrades seen for others. While that hasn’t led to a pick-up in inflation, it could still see investors becoming a little more positive on the Japanese economy and related assets as growth elsewhere eases.”
“Even if global uncertainties fade a little, investors could continue to hold JPY long positions which would support the currency."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.