Japan is expected to unveil a JPY 2-3 trln stimulus package on Friday. The JPY got a short-term boost from the news which made the rounds not long after the US GDP report. As we’ve noted in the past, trading JPY on the fundamentals is often counter-intuitive. Often when the Japanese economy is strong, investors are more comfortable reaching for higher overseas yields. It’s when the economy is particularly weak when the money flows back on shore, strengthening the domestic currency. USD/JPY trades now around 109.12.