The “USD JPY” currency pair, second only to the “EUR USD” pair in trading volume, has been on a lengthy strengthening move over that past eighteen months, despite national disasters to the contrary. Known favorably as a base currency for the popular “carry trade” amongst forex traders, The Yen has moved into a position of steady strength while its economy has been plagued with low growth for nearly two decades.

The “GBP USD” currency pair has correlated almost exactly with the trending behavior of its rival, the “EUR USD”, over the past twelve months. Although the United Kingdom is independent from Europe, its banks still have many European bond securities on their respective balance sheets and export trade relationships are also entwined enough to provide additional linkage in the Pound’s tendencies versus the Euro. Favorable economic data has buoyed the Pound of late, and data releases to come may reinforce the current positive moves.