Article By RoboForex.com
The USD/JPY pair is trading a little bit upwards on Tuesday after Japan published several mixed statistical reports.
On Tuesday, the Japanese Yen is getting weaker against the USD again. The current quote for the instrument is 117.35.
The Japanese inflation in November added 0.5% y/y after increasing by 0.1% y/y in October. At the same time, the Tokyo Core CPI in December dropped by 0.6% y/y after losing 0.4% y/y in November. The Core Inflation Rate lost 0.4% y/y in November. The reading are mostly neutral, because no one is waiting for some economic breakthrough in this direction from Japan.
The Unemployment Rate in Japan in November expanded by 3.1% after being 3.0% in the previous month; the indicator wasn’t expected to change. It appears that the labor market can’t handle the current economic situation in the country, among others things – because of the QE program duration.
Decrease in both Household Spending readings at the same time is not a surprise. On YoY, the indicator decreased by 1.5% after losing 0.4$ in October. It means that the Consumer Spending decreased as well and wouldn’t support the country’s GDP. This is a bad sign for both the Yen and the Japanese economy.
Free Reports:
Other reports showed that the Construction Order in November lost 6.0% y/y and the Housing Starts added only 6.7% y/y instead of expected 10.2% y/y,
In other words, after a short improvement the Japanese economy is again getting gloomy. In such conditions, it’s difficult to expect the national currency to be stable.
RoboForex Analytical Department
Article By RoboForex.com
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