USD/JPY: Japan’s manufacturing sector growth cooled less than initially estimated in May


USDJPY Movement

For the 24 hours to 23:00 GMT, the USD declined 0.06% against the JPY and closed at 108.75.

In the Asian session, at GMT0300, the pair is trading at 109.22, with the USD trading 0.43% higher against the JPY from yesterday’s close.

Overnight data revealed that Japan’s final Nikkei manufacturing PMI fell to a level of 52.8 in May, less than a preliminary print indicating a fall to a level of 52.5. The PMI had registered a reading of 53.8 in the previous month.

The pair is expected to find support at 108.67, and a fall through could take it to the next support level of 108.11. The pair is expected to find its first resistance at 109.50, and a rise through could take it to the next resistance level of 109.77.

Looking ahead, traders would closely monitor Japan’s 1Q GDP, Nikkei services PMI and trade balance data, all slated to release next week.

The currency pair is trading below its 20 Hr and 50 Hr moving averages.

This entry was posted in USD/JPY. Bookmark the permalink.

Comments are closed.