EUR/USD 1.13694
-0.063%
Gold 4053.64
0.107%
Oil 88.544
-2.783%
USD/JPY 163.848
-0.004%
GBP/USD 1.33208
0.055%
GBP/JPY 218.264
0.066%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
July 26 - Queensland, Australia, confirmed a case of highly pathogenic H5N1 avian influenza on July 25. This is the fourth state in the country to confirm a case of H5N1 avian influenza since June.The Korea Automobile and Mobility Industry Association (KAMA) predicts that domestic car sales in South Korea will increase by 2.7% year-on-year in the second half of the year, reaching 865,000 vehicles, with total sales for the year reaching 1.71 million vehicles.July 26 (Yonhap) -- South Korean President Lee Jae-myung stated, "South Korea and the United States should expand their cooperation beyond their long-standing security alliance to include technology, innovation, and startups." He emphasized that combining the world-class venture capital capabilities and global network of the United States with South Koreas advanced technological strength and manufacturing competitiveness will create a new batch of globally innovative companies. Lee also called on US venture capital firms to strengthen cooperation and expand investment in South Korea, while pledging to create the worlds most attractive investment and entrepreneurial environment. He stated that South Korea will reform its visa system to better attract overseas entrepreneurial talent and lay the foundation for a cooperative system between domestic and foreign companies, research institutions, and investors. He further pledged to help South Korean startups grow into globally competitive companies through funds connecting private and government-managed entities.The State Council Information Office will hold a press conference on the theme of "Starting the 15th Five-Year Plan" at 10:00 a.m. on Tuesday, July 28, 2026. Hu Jinglin, Director of the State Taxation Administration, will introduce the relevant situation of tax reform and development during the 15th Five-Year Plan period and answer questions from reporters.On July 26th, Tesla (TSLA.O) shares fell nearly 20% this week, closing at $313.03 per share, marking its biggest weekly drop since 2022; SpaceX (SPCX.O) closed at $115.07 per share, its lowest level since its IPO last month. Data from the Bloomberg Billionaires Index shows that Elon Musks personal wealth evaporated by approximately $130 billion (about 880 billion yuan) in just five trading days, just weeks after he became the first person in history to surpass a trillion-dollar net worth. Musk himself jokingly referred to himself as a "(former) trillionaire" on social media.

USD/JPY Reverses Two-Day Advance Despite Positive Rates and Bullish Fed Statements

Alina Haynes

Feb 15, 2023 14:36

 USD:JPY.png

 

Following a two-day winning run, USD/JPY returns to the bears' radar early on Wednesday as market players evaluate the Fed's hawkish decision in relation to their expectations for the Bank of Japan's (BoJ) next move. As a result, the Yen pair re-establishes its intraday low near 132.70 and has posted its first daily loss in three days, down 0.20% as of press time.

 

The Japanese government's choice of a hawkish leader for the Bank of Japan (BoJ) board appears to have pressured USD/JPY negative in recent days, despite the rise in US Treasury bond yields and the US Dollar's rebound following US inflation data.

 

The Japanese government nominated Kazuo Ueda as Governor of the Bank of Japan on Tuesday. Notably, Bloomberg published an article saying that the Bank of Japan's easy-money policy could be challenged as a result of Ueda's hawkish predisposition.

 

Even if inflation did not exceed "positive surprise" expectations, the majority of Federal Reserve (Fed) policymakers outside of the United States supported additional rate hikes. The yields on US Treasury bonds and the US Dollar were driven by the same factor.

 

The US Consumer Price Index (CPI) increased by 6.4% year-over-year, exceeding market estimates, but registering the slowest increase since 2021 and falling below 6.5% previously. Importantly, the CPI excluding food and energy, often known as the Core CPI, rose by 5.6% compared to market forecasts of 5.5% and prior readings of 5.5%.

 

Following the release of the numbers, the president of the Dallas Fed, Lorie Logan, indicated that they must be prepared to continue rate hikes for a longer period than previously planned. John Williams, president of the New York Federal Reserve Bank, reiterated this attitude, noting that the task of containing high inflation is not yet accomplished. In addition, Patrick Harker, president of the Federal Reserve Bank of Philadelphia, intimated that they are not quite finished (with raising rates), but that they are close.

 

US 10-year Treasury bond rates fluctuate around 3.75% after increasing three basis points (bps) to reestablish a six-week high, while the two-year equivalent climbed to its highest level since early November 2022 by reaching 4.62%.

 

Despite this, S&P 500 Futures track Wall Street's bearish closing to highlight the somewhat pessimistic outlook and weigh on the USD/JPY exchange rate, mostly due to the Japanese Yen's (JPY) traditional attraction for risk aversion.

 

Lack of substantial Japanese data/events makes the USD/JPY pair susceptible to US stimuli for direction. The January Retail Sales and Industrial Production figures as well as the February New York Empire State Manufacturing Index should be examined closely.


Suggestion