By FX Empire.com
The USD/JPY pair retreated early Tuesday to end three sessions of gains, while the dollar is still losing momentum against most of its major counterparts. On the other hand, the rally in the global equities helped risk appetite to lead the way this week.
The Japanese yen reduced some of the pressure on the shoulders of the Bank of Japan after it drooped against the dollar with the beginning of the week, while the yen is trying to cover some of its previous losses using the dollar weakness.
Expectations that the EU leaders are working on new measures to prevent the crisis from spreading to other countries are feeding the risk appetite in the financial market, and open the way for the higher-yielding assets to record more gains.
On Wednesday at 23:50 GMT (Tuesday), Japan will issue the Industrial Production for October which had a previous reading of -3.3%, as for the annual Industrial Production it had a previous reading of -3.3%.
At 05:00 GMT, Japan will issue the annual Construction Orders for October with a previous reading of -9.3%, the Annualized Housing Starts for October was 0.745 million by -10.8%.
The U.S. economy will release the ADP employment change for November at 13:15 GMT, where it’s expected to come at 128 thousands from the previous reading of 110 thousands.
The U.S. Non-Farm Productivity for the third quarter is to be released at 13:30 GMT and expected to come at 3.1% inline with the previous reading, and the Unit Labor Costs for the third quarter is also expected unchanged at -2.4%.
The Chicago Purchasing Manager for November will be released at 14:45 GMT and is expected to come at 58.5 from the previous 58.4. At 15:00 GMT the Pending Home Sales will be published and it’s expected to remain flat from the prior -4.6%.
Originally posted here
