EUR/USD 1.08570
0.008%
Gold 2787.25
-0.001%
Oil 68.786
-0.150%
USD/JPY 153.325
-0.052%
GBP/USD 1.29587
-0.025%
GBP/JPY 198.689
-0.075%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On October 31, according to CMEs "Fed Watch": The probability of the Fed cutting interest rates by 25 basis points by November is 95.5%, and the probability of maintaining the current interest rate is 4.5%. The probability of maintaining the current interest rate by December is 1.2%, the probability of a cumulative interest rate cut of 25 basis points is 28.3%, and the probability of a cumulative interest rate cut of 50 basis points is 70.5%.Meta Platforms (META.O) CFO: Considering investment in "Reality Lab" in 2025, we are very excited about the progress of smart glasses and the strong interest of consumers.MMeta Platforms(META.O) CFO: Broad focus on efficiency improvements, including pushing certain departments of the company to make more human investments to improve efficiency.MMeta Platforms (META.O) CFO: We are evaluating investment opportunities for 2025 and supporting this goal by continuing to focus on optimizing other business operations.MMeta Platforms(META.O) CFO: We expect to launch the first video generation feature more broadly early next year.

The EUR/JPY is still firmer at 138.00 despite low rates, with inflation and the economy being the primary concerns

Alina Haynes

Aug 10, 2022 11:35

 截屏2022-08-10 上午10.33.22.png

 

As Tokyo begins on Wednesday, bulls on the EUR/JPY keep the previous day's gains at a two-week high while teasing the 138.00 mark. The cross-currency pair ignores Japan's Producer Price Index (PPI) information in the context of falling Treasury yields by doing this. The current lull in the pair's performance may also be attributed to investors' caution ahead of July's critical inflation data from the world's major economies.

 

Japan's PPI for July climbed to 8.6% YoY versus the 8.6% market average but was in line with market expectations of 0.4% MoM. Despite this, 10-year US Treasury rates haven't changed much over the past few days, hovering around 2.79 percent.

 

According to sources familiar with the Bank of Japan's (BOJ) thinking, the BOJ expects prices to rise more quickly than was predicted during the July meeting. This information was reported on by MNI on Tuesday. But according to MNI, "unless it helps to accelerate wages next spring, the rise in inflation to 3% or more by the end of the year will not be sufficient to induce a change in its easy policy stance."

 

The JPY appears to be impacted elsewhere by the political unrest, indicating that Japanese Prime Minister Fumio Kishida is willing to replace his cabinet. Shunichi Suzuki, the finance minister, is expected to keep his job, Reuters reports, indicating that there aren't any significant threats to the Bank of Japan's (BOJ) policies regarding easy credit. The same ought to provide confidence in JPY bears.

 

Concerns that the Eurozone may have more problems as a result of Russia's suspension of oil supplies should have had an effect on the EUR/JPY exchange rate, to name one important factor. Reuters reports that due to worries over transit payments, Russia has stopped sending oil through the Druzhba pipeline's southern section.

 

In contrast, EUR/JPY prices appeared to have been driven in recent weeks by expectations of further BOJ easing and low interest rates, as well as preparations for today's crucial CPI data from China, Germany, and the U.S. for July.


Suggestion