It does not matter the direction, all that matters is follow the price.
Yen enters a new downfall
Consumer prices in Japan continue to rise steadily, but this is of little concern to the central bank – a brutal combination for the Yen, which could repeat last year’s alarming decline. Japan’s CPI rose 0.5% in January, the 15th month without a decline. The annual rate of increase also continues to grow, taking headline inflation to 4.3% and, excluding food and energy, to 3.2% y/y. This is the highest rate of price increases since the early 1980s. From a technical point of view, the nominal CPI has broken through the resistance of the peaks at the end of 1998 and continues to rise steadily. Nevertheless, there ... (full story)