The Japanese yen has posted strong upturn against the majors in the first week of 2019. At the same time, the observed hikes hardly can be connected with the moves of BOJ, especially given that Tokyo does not want to get soaring national currency. Moreover, Japan is on the holidays today. As a result, higher Japanese currency can be explained by stronger demand for protective assets, with the Japanese yen being among the safe havens, amid the recent downgraded revenue report by Apple.
Specifically, Apple reduced its revenue outlook for the FY 2019 to $84 billion ($91 billion earlier). According to the news reports, this decision can be mainly related to the persisting tensions between Washington and Beijing. As commented Apple CEO, Timothy Cook commented, some problems in the leading markets could happen, though observed economic slowdown, in particular in China, became a real surprise.
Financial markets have been concerned about the negative impact coming from the ongoing US-China trading conflict. The players fear that the tensions between the two leading economies have already affected the global economy, especially after the parties failed to achieve any progress during the talks.
With the revised outlook of Apple, the market started resisting risks, which entailed upturn in prices for the yen and gold.
Today, the market participants may take into account the labour report from the US private sector to be released by ADP, while the government will release its labour report tomorrow.