The Japanese Yen has made gains against the Pound due to the release of strong industrial production data out of the Asian nation.
According to Japans Ministry of Economy, Trade and Industry, Industrial production in the country increased by 1.1% on a monthly basis, reversing the fall of 0.1% recorded in November. On a yearly basis industrial production smashed economist forecasts. Output leapt by 7.3%, far above investor expectations for a figure of 4.8%.
The Yen also found support from safe haven demand as many other Asian currencies approach a third weekly decline as investors grow increasingly concerned over the possible slowdown occurring in China and the US Federal Reserve’s decision to further cut its stimulus programme.
“China has a big impact on the risk of emerging markets. That is weighing on Asia combined, with other concerns about tapering and political uncertainty in emerging markets,” said a Singapore based currency strategist.
The rout in emerging and commodity based currency’s has seen the Yen and other safe havens such as the US Dollar be supported as investors turn away from riskier assets like the Indian Rupee and South African Rand.
Several Asian Markets are closed due to the Chinese New Year holidays.
The Pound received some support earlier in the session and rose against most of its peers after a report showed that consumer confidence in the country climbed to its highest-level in more than six-years this month. An index of consumer confidence rose from -13 to -7, the highest level since September 2007 and was above forecasts for a figure of -12.
Japanese Yen (JPY) Exchange Rates
|Pound Sterling||Japanese Yen||168.5900|
|US Dollar||Japanese Yen||102.3875|
|Australian Dollar||Japanese Yen||89.7132|