JPY devaluation persists. Overview for 07.09.2023

September 7, 2023

By RoboForex.com

The Japanese yen, paired with the US dollar, remains weak. The current USDJPY exchange rate stands at 147.52.

From January this year until now, the yen has depreciated by more than 12%.

The US Dollar easily gains ground against the JPY without encountering resistance. When might the yen have a chance for recovery? This depends on the Bank of Japan making a resolute decision to abandon its ultra-soft monetary policy.

On the other hand, it is essential for the US dollar to become less enticing to buyers. For this to occur, the prospects for the US economy must become less attractive from the perspective of bullish investors. Visible signs of a slowdown in the US economy, such as a slight cooling in the job market or the potential for lower interest rates, are not enough to weaken the dollar.

Domestic data in Japan points to a deteriorating situation. Household spending in July declined by 2.7% m/m, contrary to the forecast of 0.7% growth and a previous rise of 0.9%. On an annual basis, the indicator dropped by 5.0%, which is twice as weak as expected.


Free Reports:

Download Our Metatrader 4 Indicators – Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter





Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.





Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

InvestMacro

Share
Published by
InvestMacro

Recent Posts

It may be almost impossible to make data centers pay their ‘fair share’ of electricity costs

By Theodore J. Kury, University of Florida  Many major tech companies have pledged to pay…

11 hours ago

Oil prices have stabilized. The Canadian dollar continues to trade near yearly lows.

By JustMarkets On Friday, US indices were not traded due to a public holiday in…

12 hours ago

EUR/USD in a Narrow Range: Focus on Fed Minutes

By Analytical Department RoboForex EUR/USD is trading around 1.1432 on Monday. At the end of…

12 hours ago

Oil prices have fallen to pre‑war levels. AI companies continue to sell off

By JustMarkets  On Thursday, US indices showed mixed dynamics, reflecting a deep split between the…

4 days ago

Mid-week review: ECB Forum, US NFP & Intervention risk

By ForexTime  US stocks heading for best quarter in 6 years ECB forum in Sintra…

4 days ago

Gold Rises Sharply as Markets Reassess Fed Rate Outlook

By Analytical Department RoboForex Gold rose to 4,177 USD per troy ounce on Friday, having…

4 days ago

This website uses cookies.