Despite a modest correction which took place close to the weekend, the Yen continues to strengthen on all fronts. The Yen rose against the Dollar, the Euro and the Pound during last week's trading session.
The Yen rose on positive data that was published from the Japanese economy. The most significant economic publication from last week was the Japanese Trade Balance. This report measured the difference in value between imported and exported goods during October. The report showed a surprising result of 0.42T, the best figure in 4 months. This has shown that Japanese exports are advancing beyond expectations. Considering that the Japanese economy relies first and foremost on its export industry, the results were likely to boost the Yen.
As for this week, a batch of data is expected from the Japanese economy. The most significant publication is likely to be the Capital Spending indicator, expected on Wednesday. The Capital Spending measures the change in the total value of new capital expenditures made by businesses. A positive result is likely to support the Yen, which could extend its bullish trend.