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We have seen that the currency pair USD/JPY reaches to the high level of 92.36 first time after the eighteenth of may where as the currency pair EUR/JPY reaches to 113 level as anticipated in the market after the recovery of the US labor market. In the market rumors are going on about the next leader of Japan that was expected to the current finance minster will take the vacant position of the Prime Minster of Japan that ultimately leads the Yen currency to lag behind in the market from some past days. Th finance minister of Japan suggested the BOJ to do not look steady at the market try to fight against the deflation to stop it. While rise is seen in the Asia Pacific of 2.4 percent and the Nikkie embedded the goodness in the stocks by rising 2.46 percent more. The stocks seems to be rebound and also triggers the risk appetite because of the japanese investors amendment foreign bond net purchases to the most expected till the month of September.

There was a advancement shown in the currency pair of AUD/USD that seems to be rises to 0.5 percent and the currency pair NZS/USD rises to 0.4 percent in the consecutive second day at the Forex online market. This is all due to the strong economic data that comes from US while the Aussie demands for the risk appetite. Where as the trade balance of the Australian trade adds the surplus in the month of April as there was a high jump shown in the iron ore exports that is of 25 percent more from the past, coal shipments rises to 40 percent more where as the exports also rises to 11 percent as comapred to the April month. RBA has forecasted that the boom of Asia rocks may lag the Australias’s trade in the coming time.

The currency pair EUR/USD seems to be in good path as it seems to be rises from 1.2111 to 1.2281 on first june. It gets the support from the stocks rise in the starting of this month. While as about the US economy it was predicted yesterday that the US comapnies are ready to launch 70,000 jobs as the intial jobless came fells to 455,000 from the previous 460,000. In this week there was a meet fixed between the Finance minsters with central bankers of G20 in Bussan that was in South Korea which decides about the current situation of EURO debt crisis. The current finance minster of Japan mentioned in his one of the interview that the european debt crisis leads an adverse effect on the Global economic growth of the country merely because of the leading trading countries that is China, india and Brazil are still ready to fight against the deflation as they are robust enough.

A sharp fall was seen in the Dollar index yesterday that made the USD unable to break through the 87 level and dropped down. There was a recovery seen in the currency pair of EUR/USD and reaches to level of 1.2671 where as GBP/USD rises to 1.4527 high along with the recovery of AUD/USD to 0.8363 level. Crude oil tumbles further to the level below 67 while Gold remains steady at 1190 level in the Asian market. US equities open at low level to provide an additional support to the USD currency and Japanese Yen.

EUR/JPY pair reaches to a low level at 109.32 point in the Forex online market along with the currency pair AUD/JPY that dives to 72.04 low level but this does not impact on the major currency of Japan that is Yen. As we have seen that Japan’s currency Yen is still in upward position in the market and may rise to high level in the coming Forex session. The currency pair NWZ/JPY again drops this week as compared to the last week’s session. Where as there is some rise shown by the CAD/JPY to regain the past high of 94.46 level. But, it can be said that the currency pair remains bearish although the resistance holds at 85.86 level.

The banking problem in Spain is the highest priority concern among the market investors because this will lead the European currency to wide spread in the Global economic market which impacts the economic recovery of the market. IMF warned the Spain’s bank about the consolidations remains low then the Spanish banks have to get prepared otherwise the financial trouble will lead the bank into an intervention.

BOE policy makers specified the fact about the Japanese economy that it faced the same condition as the UK and US economy is facing today and it may lead to the recessionary condition due to the small policy making mistakes. But the Posen also specified that one major problem that was not faced  by the Japan’s economy in their recession time was that the poor demand of external prospects along with the productive resource reallocation need.

The euro zone countries again facing the same problem as faced by the last two weeks since the EUR/JPY currency pair falls to 109 level had confirmed the resume of downtrend. The upside break in the currency pair leads to the bullish convergence condition. Although we are expecting a strong support at the level below 2000 in the major currency pair of Japan.

About the US market which leads to hike results in euro currency deficits. The rise of USD dumps the prices of commodities and equities in US. There was a second largest inflow shown in the US financial assets as the foreign investors invested their $ 100 in buying treasury securities in the month of March. It was fore-casted about the Treasury that it will be at low of 4 percent at the year’s end. Since beyond the major problems in US financial conditions there will be a return game is played after the investment. The main driving factor that leads to the US dollars to high is the drop down of EURO currency. It can be predicted that the Fed government can take measures to increment the fund rates in this year.

Looking ahead for the next week forex online session it can be said that the inference of number of financial data’s that are released yesterday will lead some instability in the market. Since EU finance ministers are set to meet yesterday for discussing about the euro zone countries financial matter and economic recovery measures. German Finance minster has presented a plan that include the measures taken for budget cuts and also the cost cutting along with the penalties for the countries that not follow rules and regulations. BOJ has decided to unchanged their interest rate that is to be 0.1 percent after seeing the GDP growth rate of Japan. Dollar index is seen to be snugged at the short term rate of 87.6. There was a high shown in EUR/CHF after the gain of EURO currency from 1.2150 to 1.2644 points. The coming week mainly focuses on German info, UK public sector current borrowing and lastly the euro zone PMI’s.