USD / JPY
With the dollar strengthening, the Japanese yen has grown by 59 points on Friday's employment data in the US. This pound has an optimistic growth as well as the stock markets, showing the S & P500 grew by 1.74%, Dow Jones at 1.77%, and the Russell2000 at 2.24%. This morning, the Nikkei225 gains 1.32% , and the Chinese Shanghai Composite at 0.51%.
The Japanese economic data. Household spending in January increased by 2.0% against expectations of a 1.1% decline. The average wage increased in January by 0.7% against expectations of 0.6%. On the same day, the Central Bank held a meeting on the monetary policy, and there were no changes. The Central Bank said they could change the policy if necessary, rather than give a little emotional support to investors.
Today, the BSI business sentiment index in Japan's major industrial companies for the first quarter came in at 2.9 compared to 9.7 in the previous period and growth forecast to 10.3. This affected the weakening of the USD/JPY currency pair during the Asian session. In due time, we are expecting for the growth recovery of the targets at 107.40 and 108.00.
* The presented market analysis is informative and does not constitute a guide to the transaction.
