Japan & BoJ: The Yen is not a Mystery with Joseph Trevisani

The Bank of Japan’s negative 0.1 percent interest rate has not been successful. Following a one day surge to 121.69 on January 29th , the yen has strengthened relentlessly against the dollar, 10 percent to April 4th. In comparison the ECB moved its deposit facility rate to -0.1 percent on June 5, 2014. From that day’s euro open at 1.3599 to April 4th the euro has lost 17 percent against the dollar and 12 percent versus the yen. What went wrong in Japan?

The seemingly perverse market reaction is the result several factors unique to Japan and one familiar to all traders.

Join us for an examination of Japan’s unusual market position and its implications for central banks around the globe.