Currencies: Yen Rises on Good News on its Homefront

The dollar is losing value to the yen on -- get this -- positive data out of Japan today.

Japan today reported stronger than expected figures for industrial production in December, calculating a rise of 1.5% compared to expectations of 1%. After months of negative data coming out of Japan -- as its economy slipped further and further -- this morning's report could prove truly beneficial. The yen is rallying against both the dollar and the euro.

With little news out of euroland today, the currency markets are eagerly awaiting the U.S. Federal Open Market Committee meeting that begins tomorrow and on Wednesday will announce what kind of rate cut the Federal Reserve has in mind. The Fed is expected to cut Fed Funds interest rates by 50 basis points. ...