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7 Mar 2013
Forex: USD/JPY continues daily surge to post 2009 highs on Draghi speech
USD/JPY has steadily climbed throughout today's European session to post highs since 2009 following BoE and ECB decisions to hold policy.
The pair has posted a high at 94.63 with hourly RSI moving above 80 into overbought territory as ECB President Draghi delivers his Policy Statement in which he states that inflation has declined further than expected and expectations remain anchored. Looking to the broader economy he believes that it will eventually recover in 2013 and that the ECB is monitoring the impact of LTRO repayments on the money markets. Further he has downgraded his growth forecasts for 2013 and 2014, citing foreseeable downside risks ahead. Further, he adds that labour market reforms are necessary to stimulate growth.
The pair has posted a high at 94.63 with hourly RSI moving above 80 into overbought territory as ECB President Draghi delivers his Policy Statement in which he states that inflation has declined further than expected and expectations remain anchored. Looking to the broader economy he believes that it will eventually recover in 2013 and that the ECB is monitoring the impact of LTRO repayments on the money markets. Further he has downgraded his growth forecasts for 2013 and 2014, citing foreseeable downside risks ahead. Further, he adds that labour market reforms are necessary to stimulate growth.