, analysts said the medium term, four reasons to support the yen, or will replace the dollar as the funding currency.
funding currency, that is, lower borrowing costs of currency, investors can borrow on international markets financing currency, and then buy a higher interest rate currency such as the Australian dollar on international markets, through both post access receipts.
reason:
1 and the Japan 0-0.1% benchmark interest rate of the lowest in the world, ideal for investors with Australian carry high interest currencies such as the carry trade.
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primary South grams speech or revealed fed exit route figure QE2 or painting Shang period European Central Bank new Palm lock will "meaning" in the people RMB on dollars 25th disk in the volatility near 0.5% RMB is period currency yesterday once fell stopped vulnerable dollars has is "spent" Shen Jianguang: exchange rate interest rate need more flexible second quarter investment policy will hot registration in the 2 , The current medium term, all monetary possibilities almost no monetary policy tightening in only the yen. Japan fragile economy is absolutely impossible for allowing Japan's Central Bank to tighten monetary policy, Japan's Central Bank has been launched to the market after the earthquake of 4 trillion yen liquidity to stimulate economic recovery. Dollar after the June monetary policy trend has yet to be clarified.
3, appreciation of the yen cannot stand. Earthquake Japan economy extremely vulnerable, if the rising yen on Japan's exports was a devastating blow. G7 joint interventions have made clear this is.
4 and the Japan little inflationary pressure. Japan national consumer price index for February (on an annualised basis) balanced, national core consumer price index for February (on an annualised basis) down and 0.3% the Tokyo core consumer price index (annual rate) to 0.3%. Japan on Thursday March CPI data (28th).
therefore, the analyst recommendations, see the euro or Sterling investors should go long on the Euro/yen, GBP/JPY; facing the Fed's interest resolution and the United States CPI and the GDP, exchange rate uncertainty there is a direct disk.
