Japanese outlook sliding from ‘grim’ to ‘sub-grim’

Japan will downgrade its economic assessment in the upcoming monthly report according to DJ, who cites Kyodo news.

At some point, Japan will sort out some kind of yen-crushing policy. Politicians there sound like they’re in panic mode so I suspect it won’t be too much longer.

USD/JPY is scaling back with the slide in risk sentiment but a 79.50 option expiry at the top of the hour may limit declines.