Japanese authorities have toughened their rhetoric toward the soaring JPY, with the finance minister saying he is watching forex with great interest, saying disorderly moves have a bad impact on the economy. The Japanese alarm has become so great that they engineered an unusual G7 statement on currencies.
Interest rates are set to come lower around the globe with UK PM Brown broadly hinting at another coordinated cut via the BBC.
USD/JPY is on the comeback trail after the G7 statement and folowing a bounce from the 91.90/92.00 area that helped build an intraday base for the pair. A break above 94.50/94.85 resistance is needed to confirm a base is in place for the medium-term.
