Well, it’s the day after Christmas Day but a lot of people are still on holiday, either because the day after Christmas Day (known as “Boxing Day”) is a holiday in some countries, or because Christmas Day fell on a Sunday so the next weekday is given as a holiday in lieu (this is what is happening in the United States today).
This means that markets are closed in the U.S.A. and the U.K., as well as Switzerland, Germany, Italy, Canada, Australia and New Zealand.
The U.K., Canada, Australia and New Zealand are also on holiday tomorrow (Tuesday).
The upshot of all this is that although it is possible to trade with some brokers today, the markets are extremely thin. You will hardly ever see quieter open markets than this!
The has been a little movement in the Australian Dollar during the Asian session, such as it was.
However, I feel this is a pointless time to be taking any trades, and I will open enter any new trades in my own account until the next Tokyo open later (Tuesday 27th December).
The only news I read this morning which I found particularly interesting was a report that Japan has just recorded its lowest number of births in any year since records began in 1899. There were only 891,000 births in Japan last year and for the 10th consecutive year, the number of deaths outpaced the number of births, leading to a shrinking population.
This has implications for the Yen, as Japan has chosen not to become a country of immigration. There is some anecdotal evidence of immigration increasing. Overall, the issue is fundamental factor pointing to a long-term weakening of the Yen as a currency. Of course, the fundamental picture is far more complex than that when it comes to any large modern economy such as Japan, but it is a factor which should not be overlooked by analysts.
