Despite strong demand for the U.S. Dollar, the Japanese Yen managed to correct its two-day drop, as Japanese inflation soared most since 2008. After opening at 98.635 on Sunday, USD/JPY tumbled to 96.823 on Tuesday, almost reaching 200-day SMA, however on Friday the pair moved toward 98.3 level. After the release of consumer prices, the Japanese currency gained against the U.S Dollar, the Euro and British pound, increasing 0.35%, 0.23% and 0.27%, respectively.
In regards with the Swiss Franc, the currency was mixed against several currencies. Hence, it advanced against the Euro and Aussie, however, recorded a 1.2% drop versus the Japanese Yen. The Franc's performance was dependent not only from the news abroad, but from several economic releases from the Alpine country as well. Analysts were surprised to the downside, as Swiss consumption indicator turned lower, while sales of machinery and electrical products recorded a sharp fall, due to sluggish demand from the neighbouring Eurozone and slowing down Asian economies. However, amid gloomy news from Swiss economy the only bright spot for Switzerland remains its labour market, which shows a stable pace of hiring since February 2012. The number of employed people reached 4.166 million, up from 4.152 million in the preceding quarter, offsetting analysts' expectations for a 4.140 million.
This week, however, will be even more rich on events, as policymakers from the world's biggest economies will decide whether to add more stimulus into their economies or stay pat on its monetary policy. According to analysts' predictions, Australian, Canadian, European, British and Japanese are expected to leave their benchmark interest rates unchanged. In addition to that, on Tuesday Eurozone GDP will be released, while on Friday, September 6, Canadian and American statistical offices will unveil the official unemployment rates in both countries.