FX.co ★ How quickly will the yen's growth recover?

USD / JPY

Political turmoil in Europe and Asia was quieted down a bit yesterday, which supported the Japanese yen to increase by 16 points. The US stock index S & P500 added 1.27% yesterday, but it was only the first day of growth after the decline in the previous week. So the market does not yet feel a stable external support. Also on Wednesday, retail sales in Japan increased by 1.6% in April against expectations of 0.9%, and the household confidence index in May increased from 43.6 to 43.8 (the forecast was 43.9). But today, the April estimate for industrial production showed 0.3%growth only against the forecast of 1.5%. Chinese investors' sentiment on business activity (PMI) slightly supports the mood of investors. Manufacturing PMI in May increased from 51.4 to 51.9, and Non-Manufacturing PMI rose from 54.8 to 54.9. The Chinese index of China A50 increase today at 1.87%, and the Japanese index Nikkei 225 came at 0.59%. In the coming days, we expect the yen to rise to 110.05.

* The presented market analysis is informative and does not constitute a guide to the transaction.