CAD/JPY

The CAD/JPY Spot gives traders an indication of how many Japanese yen they can expect to receive for each Canadian dollar.

As 'majors' of the forex markets and significant reserve currencies, the two monies are of significant interest to investors.

The Canadian dollar is considered to be a benchmark currency and is the seventh most-traded money in the world.

Due to its close ties to the US, its value has historically been linked to the price of Canada's American neighbours, but its performance in recent years has indicated that its strength may now be more heavily influenced by the price of oil.

As a result, many commentators describe the Canadian dollar as a petrocurrency, although the fluctuation of exported commodities such as base metals and forestry may also have an impact.

The economic performance - including unemployment, inflation and interest rates - of the nation is likely to cause movement, with positive signs usually strengthening its value.

Similarly, the Japanese yen tends to make gains when encouraging economic, employment and trade reports are released, while certain commodities such as oil, base metals involved in the car industry and coal can have an effect.

The currency is considered a safe-haven money, so in times of uncertainty or turmoil in the fx markets many investors will choose to buy up yen, which boosts its price.