Forex News

Live Forex news from all over the world.

    Archives

Japanese Yen Beats Other Rivals amid Risk Aversion

May 29, 2020 at 7:19 by Vladimir Vyun

Many Japanese coins on the banknotesThe Japanese yen was the strongest currency on the Forex market during Friday’s trading session as markets were in a risk-off mode after concerns about the situation in Hong Kong returned. Japan released a bunch of macroeconomic reports on Friday, some of them were better than expected while others were worse.

China passed legislation that will increase its power over Hong Kong. It caused an international outcry, with the United States saying that the city has basically lost its autonomy, resulting in no special treatment from the USA anymore. US President Donald Trump will hold a press conference later today, announcing measures against China. Market participants were nervous ahead of the announcement, sending the stock market crashing down.

As for macroeconomic data, the Statistics Bureau of Japan reported that the Tokyo core Consumer Price Index rose 0.2% in May, year-on-year, instead of falling at the same rate as analysts had predicted. The seasonally adjusted unemployment rate was at 2.6% in April, up from 2.5% in the previous month, but below the consensus forecast of 2.7%. According to a report from Japan’s Ministry of Economy, Trade, and Industry, the industrial production “was declining rapidly” in April, demonstrating a drop of 9.1% versus the forecast decline of 5.5%. Retail sales plunged by 13.7% in April from a year ago, exceeding even the pessimistic forecasts of an 11.2% drop. The Ministry of Land, Infrastructure, Transport, and Tourism reported that housing starts fell 12.9% in April from the same month of the previous year, more than analysts were expecting — 12.0%. Data from the Cabinet Office revealed that consumer confidence jumped to 24.0 in May, seasonally adjusted, from 21.6 in the previous month, whereas experts were anticipating a drop to 21.3.

USD/JPY dropped from 107.60 to 107.18 as of 7:18 GMT today. EUR/JPY fell from 119.17 to 118.99. CAD/JPY declined from 78.17 to 77.84.

If you have any questions, comments, or opinions regarding the Japanese Yen, feel free to post them using the commentary form below.

Leave a Reply

required
required  

Navigation

Menu