By FX Empire.com
The USD/JPY pair fluctuated early Tuesday as it soared to the upside due to some rumours that the BOJ may intervene in the FX market once again, but soon the pair returned to its downside movement.
The Japanese yen still finds many buyers due to risk aversion in financial markets, which is suppressing demand for higher-yielding currencies and focus on the yen and the greenback as safe haven.
On the other hand, the US dollar advanced against most of its major counterparts as fears still exist regarding the EU debt crisis and its negative effect on other economies.
On Wednesday at 04:00 GMT, the Bank of Japan will release its interest rate decision, where it’s expected to maintain the rate at its lowest level between 0.0% and 0.10%.
The U.S. economy will release the Consumer Price Index for October at 13:30 GMT, where the prior reading was 0.3% and expectations refer to 0.0%, while the annual CPI is expected to come at 3.6% from the previous 3.9%.
At 14:00 GMT the Net Long-term TIC Flows for September will be released, where it had a previous reading of $57.9 billion, as for the Total Net TIC Flows it had a previous reading of $89.6 billion.
The Industrial Production for October is due at 14:15 GMT and expected to come at 0.4% from the previous 0.2%, while the Capacity Utilization is expected to come at 77.7% from 77.4%.
Originally posted here
