By FX Empire.com
The USD/JPY pair ended last week with looses, as the EU leaders didn’t announce their plan to contain the EU debit crisis, which drove investors to shift to lower yielding currencies such as the yen and the greenback.
The market will start the week with reaction to what the leaders announce on Sunday after the October 23 summit, although they are embraced for further delay after Germany and France called for another summit on Wednesday, which might see the delay of the measures, yet in general the market will react mainly to what the leaders say which might provide the guidelines for the measures and accordingly if the measures are strong the risk appetite will return and if not a strong selloff will be evident.
On Monday at 23:50 GMT (Sunday), Japan will release the Merchandise Trade Balance Total for September, where the expectations refer to a surplus of 200.4 billion yen while the previous reading was down by 775.3 billion yen.
The Adjusted Merchandise Trade Balance is expected to show a deficit of 147.8 billion yen compare to the previous deficit of 294.4 billion yen.
On the other hand, the annual Merchandise Trade Exports for September is expected to rise to 1.1 from the previous of 2.8, while the annual Merchandise Trade Imports is expected to come at 12.6 from 19.2.
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