FX.co ★ NAFTA will help the Japanese yen

USD / JPY

Friday was a national holiday in Japan, while the Japanese yen fell by 5 points. In the morning, the minutes from the last meeting of the Bank of Japan was published in the morning but it seems unnoticeable and did not even affect quotes. Yields on national government bonds are declining. Asian stock indices grow from 0.3% to 1.5%, while the Nikkei225 lose 0.09%. On Friday, the American S & P500 added 1.28%.

Tomorrow, the household spending indicator for March showed a forecast of 0.7% vs. -1.5% in February. The forecast on an annualized basis suggests an increase from 0.1% to 1.2% YoY. Also, China predicts a good growth in the trade balance for April - from -4.98 billion dollars to 27.50 billion.

Against the backdrop of intensive negotiations on NAFTA, we look forward to continued optimism in the stock market along with the yen's growth. The target can be seen at 110.30, and further to 110.85-111.10.