A look at the day ahead in European and global markets from Rae Wee

Much of investors’ attention for the week has been on the Federal Reserve’s rate decision, but for a brief moment on Wednesday, focus in currency markets turned to the yen.

The ‍yen looked punch-drunk in Asia after a sudden spill overnight that saw it fall to a record low against the euro and slide nearly 0.9% against the Aussie. The dollar also threatened to break the 157 yen level.

There was little to trigger the move, suggesting it was likely some positioning ahead of the Bank of Japan’s (BOJ) policy meeting next week.

A 25-basis-point hike is almost fully priced in by markets, but what comes next remains ‌a blur. With fiscal and growth concerns lingering in Japan, there is ‌little case for further policy tightening

See Full Page