FXstreet.com (Barcelona) - Japanese Yen lost its safe haven status falling against major rivals, and is back close to the 100 level against dollar, as disappointing economic data from Tokyo triggered a rapid unwind of long positions.
Not so far ago, when the yen was under the 90.00 level, rumors of intervention by the Bank of Japan, weight heavily in the markets. Japan is a country with an export-driven economy, and government never support a strong yen view. In fact they prefer to keep their currency between the 100.00/105.00 level, in order to maintain a healthy economy. Still the country could be in better position than any other major economy to come out the global crisis.
Against Gbp, the pair tested today the key maximum of the year 141.50. Clear break above could trigger longer term continuation in the pair. Against Euro, the pair reached as high as 126.05 before a short retrieve.
All Japanese crosses look over bought, but that is far of meaning corrections are underway.