USDJPY Movement
For the 24 hours to 23:00 GMT, the USD weakened 1.13% against the JPY and closed at 99.27.
In the Asian session, at GMT0300, the pair is trading at 98.84, with the USD trading 0.43% lower from yesterday’s close.
Economic data out this morning, showed that Japan’s consumer prices turned positive and rose 0.2% (YoY) in June from a year earlier, marking the fastest pace of increase in nearly five years and compared to 0.1% rise expected, indicating that Prime Minister, Shinzo Abe’s efforts to end deflation are working.
Commenting on the inflation data, Japanese Finance Minister, Taro Aso, stated that the increase in consumer prices shows that Japan is gradually shifting to inflation from deflation.
The pair is expected to find support at 98.28, and a fall through could take it to the next support level of 97.72. The pair is expected to find its first resistance at 99.80, and a rise through could take it to the next resistance level of 100.75.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
