Japanese yen appreciates amid economic growth | 16 8月 2024

16 8月 2024, USD/JPY

Japanese yen appreciates amid economic growth

Event to watch out for today:

15:30 GMT+3. USD - Building Permits

USDJPY:

The Japanese Yen (JPY) bounced back against the US Dollar (USD) on Friday, possibly due to Japan's recent second quarter GDP growth, which supports the possibility of a Bank of Japan (BoJ) interest rate hike in the near future.

However, the Yen could face challenges from political uncertainty in Japan due to reports that Prime Minister Fumio Kishida will not seek re-election as party leader in September, effectively ending his term as Prime Minister.

The USD/JPY pair is declining as the US dollar loses ground amid lower Treasury yields. In addition, traders are fully pricing in the likelihood of a 25 basis point rate cut by the US Federal Reserve in September, according to the CME FedWatch tool.

However, the dollar received support as recent better-than-expected US economic data eased market fears of a US recession. In addition, later in the North American session, preliminary data on Michigan consumer sentiment index for August and building permits for July will be released.

Trading recommendation: Trade predominantly with Sell orders from the current price level

Connect Drawdown bonus 101% and trade with double deposit! Bonus funds will help you increase your profits or withstand a sudden drawdown!

David Johnson
Analyst of «FreshForex» company
同意该评论吗?
交易员的评论:
Close
授权
您浏览器禁用cookie 文件. 在此情况下, 私人空间显示不正常. 如何启动cookie 文件的支持.