# Japanese Yen Strengthens Despite Disappointing Industrial Data, COVID-19 Resurgence

> The yen strengthened against the dollar at the start of the week despite weak Japanese data. November industrial production fell 0.5% month-on-month, and the METI capacity utilization rate dropped 2.9% to 92.6. Japan also reported a second COVID-19 wave, with daily new cases topping 5,000.

- Date: 2021-01-18 · published 2021-01-18T12:00:00.000Z
- Category: macro · region Japan · magnitude low
- Page: https://feedsoft.ai/events/49397-japanese-yen-strengthens-despite-disappointing-industrial-data-covid-19
- Commodities: [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

Weak growth data and the pandemic ordinarily point toward looser policy and a weaker currency, so the yen's rise reflects safe-haven demand instead. The episode has little direct effect on feed commodity prices.

## Read by commodity

- USDJPY: bearish ▼

## Sources

- fxdailyreport.com: https://fxdailyreport.com/japanese-yen-strengthens-despite-disappointing-industrial-data-covid-19-resurgence/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.