25 Mar 2014
Yen supported by risk sentiment - BTMU
FXStreet (Barcelona) - Lee Hardman, FX Analyst at the Bank of Tokyo Mitsubishi UFJ notes that Yen was supported by the deteriorating outlook for developing economies.
Key Quotes
"Investor concerns over the deteriorating outlook for growth in developing economies continue to support the yen in the near-term. G7 leaders signalled yesterday that “we remain ready to intensify actions including coordinated sectoral sanctions that will have an increasingly significant impact on the Russian economy, if Russia continues to escalate” the situation in the Ukraine."
"G7 leaders also announced that they won’t be attending the scheduled G8 meeting in Sochi and instead will hold their own summit in June. Russian Deputy Economy Minister Klepach stated yesterday that the sanctions implemented so far are not yet affecting economic growth in Russia."
"However, developments in the Ukraine are triggering significant capital outflows from Russia which are estimated to total between USD65 and USD70 billion in Q1 reinforcing a headwind to economic growth. As a result, Deputy Economy Minister Klepach expects the Russian economy to continue to stagnate in Q1."
Key Quotes
"Investor concerns over the deteriorating outlook for growth in developing economies continue to support the yen in the near-term. G7 leaders signalled yesterday that “we remain ready to intensify actions including coordinated sectoral sanctions that will have an increasingly significant impact on the Russian economy, if Russia continues to escalate” the situation in the Ukraine."
"G7 leaders also announced that they won’t be attending the scheduled G8 meeting in Sochi and instead will hold their own summit in June. Russian Deputy Economy Minister Klepach stated yesterday that the sanctions implemented so far are not yet affecting economic growth in Russia."
"However, developments in the Ukraine are triggering significant capital outflows from Russia which are estimated to total between USD65 and USD70 billion in Q1 reinforcing a headwind to economic growth. As a result, Deputy Economy Minister Klepach expects the Russian economy to continue to stagnate in Q1."