JPY

Japan's Kanda: Excessive FX moves undesirable. Ready to take action if needed

• Japan top currency diplomat Kanda speaking

USDJPY Technical Analysis – The US PMIs add further pressure on the Yen

• The USDJPY pair continues to drift higher as the Japanese inflation eases further and the US PMIs point to strong growth. What’s next?

The window of opportunity is closing for the BOJ to hike rates again

• Japan core inflation is still above 2% but the trend in prices has been steadily declining

Japan CPI data for April 2024 - all three measures come in lower than in March

• National inflation data for Japan remains above the 2% BOJ target

Japan’s new widowmaker trade - long yen

• Reuters say the new widowmaker trade may not last as long as the old one

USDJPY finds sellers near swing area target and tumbles (and then bounces)

• Volatile price action in the USDJPY

BOJ Ueda: No change in view of Japan economic outlook despite Q1 GDP contraction

• BOJ Ueda says Japan remains optimistic despite Q1 GDP decline. Auto output to rebound, easing inflation to boost consumption. Global risks monitored, focus on U.S. soft landing.

USDJPY Technical Analysis – The path of least resistance remains to the upside

• The USDJPY pair continues to grind higher amid negative drivers for the Yen. What’s next?

The Bank of Japan left its JGB buying amounts the same as the previous operation

Japan preliminary May manufacturing PMI 50.5 (prior 49.6)

• Jibun / S&P Global flash PMI for Japan in May 2024

Reuters survey of Japanese firms: Almost half of firms see USD/JPY above 155 as a negative

• The other half are long ;-)

USD/JPY with another steady rise, nudging 156.80. Y'all ready for verbal intervention?

• At the very least Japan should wheel out Finance Minister Suzuki to tell he's got a 'sense of urgency'

10-year JGB yields touch 1% for the first time since 2013

• The 1% mark is a much anticipated level even after the BOJ has moved to scrap its yield curve control program

USD/JPY little changed after the Japanese data

• USD/JPY circa 156.20

Japan April Exports +8.3% y/y (expected +11.1%) Imports +8.3% (expected +9.0%)

• Trade data for April 2024 from Japan, both exports and imports up 8.3% y/y