JPY

The Yen has been the winner of the latest political risk event in the financial markets - but how far are analysts expecting it to go?

The shock release of lower-than-expected growth data has dampened enthusiasm for the Yen despite growing geopolitical risk factors.

 Shrinking liquidity is improving the outlook for the Euro versus the Yen where monetary policy remains expansive.

The Yen looks vulnerable as Japanese investors continue to buy assets overseas due to scarcity at home, and with hedging costs high the impact of increasing outflows is likely to be magnified.