USDJPY Movement
For the 24 hours to 23:00 GMT, the USD ticked up 0.20% against the JPY and closed at 96.76.
Yesterday, the Bank of Japan (BoJ) decided to keep interest rates and pace of asset purchases unchanged for July. Following the decision, the BoJ Governor, Haruhiko Kuroda, urged the government to undertake tentative steps to restore fiscal health and cautioned that failure to do so would diminish the impact of the Bank of Japan’s monetary easing measures.
On the economic front, the Eco watchers survey current conditions index in Japan declined to 52.3 in July, while the Eco watchers outlook index remained unchanged at 53.6 in the same month.
In the Asian session, at GMT0300, the pair is trading at 96.45, with the USD trading 0.32% lower from yesterday’s close.
This morning, tertiary industrial index in Japan fell 0.3% (MoM) in June, less than market expected and compared to a revised 1.3% rise recorded in May. Meanwhile, M2 money supply rose 3.7% year-on-year in July, following a 3.8% rise in the previous month.
The pair is expected to find support at 95.85, and a fall through could take it to the next support level of 95.24. The pair is expected to find its first resistance at 97.02, and a rise through could take it to the next resistance level of 97.59.
Data scheduled today includes BoJ monthly economic survey and Japanese consumer confidence index for July.
The currency pair is trading just below its 20 Hr and 50 Hr moving averages.
