The other night he said: “If we have to close down our government, we’re building that wall. One way or the other, we’re going to get that (Mexico) wall.” What does it mean? It means it's too early to buy USD, as Mr. President keeps bringing new worrying issues to the table.
And investors voted for it by selling USDJPY to 108.84. However, this morning the pair shows the attempts to recover, and this is very important, as even in this unstable environment the market realizes that the pair has gone too low, and the current levels look very attractive given the BOJ easy monetary stance, and the Fed more aggressive stance.
One of the reasons USDJPY may resume the rise to 109.70 today, is that investors expect from Jackson Hole speeches the confirmation of the Fed readiness to start reduction soon. And up to the moment we get that confirmation the pair may keep going up.