News Headline Summary

Japan's New PM Abe to is to name Suga as chief cabinet secretary who said that Japan will use all policy tools at its disposal to correct the JPY's rise

Update details:

- Abe plans to create a new ministerial post tasked with fighting deflation and the JPY's strength and leading a new taskforce he plans to set up to craft measures aimed at reviving the country's economy.

Reaction details:

- After opening near 80 pips higher in USD/JPY following the elections results yesterday, the pair has pared a large portion of those gains and now trades up 27 pips at 83.80 last. Recent weakening has been seen in the JPY heading into the election results as market participants priced in the expectation of aggressive monetary easing in Japan under Abe.

Print 19:19, 17 Dec 2012 - Economic commentary - Source: Jiji