USDJPY passed the highs of December 2016 and intends to continue the rally. The Japanese Yen plummeted against the USD and may get even weaker. The current quote for the instrument is 118.28. The last times the Yen was so low was in December 2015 and 2016, when the asset reached 123.00.
Intriguingly, the Japanese Ministry of Finance already told that it wouldn’t comment on what was happening in the currency market. Currencies are moving under influence of many factors and the government is not going to respond to that.
In the meantime, the Yen got very weak under the attack of the “greenback”. Investors’ attention is totally focused on the US Fed meeting that is scheduled to be over later today. At 18:30 GMT, Fed Chairman Jerome Powell will have a press conference, where he is expected to announce all details and nuances of the upcoming changes in the regulator’s monetary policy.
The “greenback” remains in demand so far and it would seem that the tendency might continue.
No one is really paying attention to the Japanese statistics but these numbers are still worth checking in order to understand all that's happening. For example, the final report on Industrial Production in Japan in January showed -0.8% m/m against the expected reading of -1.3% m/m. A slight improvement of the indicator may be caused by the revival in demand.