FXstreet.com (Barcelona) - After reaching a fresh 5-weeks low at 95.60, USD/JPY has begun to rise around 80 pips from the 95.60 level to 96.43. Currently the pair has recovered almost all of its daily initial losses to trade around 96.25/35.
According to Greg Holden, analyst at ForexYard, JPY has restored its safe-haven status: The Yen showed signs of a return to its risk haven status of old as fears of Swine Flu have traders moving out of riskier, higher yielding currencies into the safe haven of the Yen. The logic of this move is a wider outbreak of the flu may increase the amount of time the global economy will need to recover from the current recession. In light of these market conditions, the Yen continues to strengthen. The USD/JPY fell for a 9th day in a row to settle at 96.30 from 96.59. The Yen also climbed against the GBP, ending the day at 140.69 from 140.97.
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