Yen Weakens Amid BoJ's Dovish Signals, S&P 500 Poised to Break Through 5000 Milestone
| Action Insight Daily Report 2-8-24 |
Yen Weakens Amid BoJ's Dovish Signals, S&P 500 Poised to Break Through 5000 Milestone |
Japanese Yen declines broadly in today's Asian session, reacting to dovish remarks made by BoJ Deputy Governor. The official's commentary emphasized a cautious approach to monetary tightening, highlighting that even with exit from negative interest rate policy, the pace of interest rate hikes would remain measured. This outlook, especially the suggestion that inflation could stabilize around the 2% target without prompting rapid policy adjustments, has contributed to Yen's downward trajectory, setting the stage for further depreciation against major currencies in the coming days. Nevertheless, Yen's performance will still hinge on the movements of benchmark treasury yields in US and Europe... |
GBP/JPY Daily Outlook Daily Pivots: (S1) 186.45; (P) 186.86; (R1) 187.53; More... Intraday bias in GBP/JPY is back on the upside as rebound from 185.21 resumes. Further rise is expected to retest 188.90 resistance first. Firm break there will resume larger up trend. Next near term target will be 61.8% projection of 178.71 to 188.90 from 185.21 at 191.50. For now, near term outlook will stay bullish as long as 185.21 support holds, in case of retreat. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Bank Lending Y/Y Jan | 3.10% | 3.20% | 3.10% | 3.00% | | 00:01 | GBP | RICS Housing Price Balance Jan | -18% | -28% | -30% | | 01:30 | CNY | CPI Y/Y Jan | -0.80% | -0.50% | -0.30% | | 01:30 | CNY | PPI Y/Y Jan | -2.50% | -2.60% | -2.70% | | 05:00 | JPY | Eco Watchers Survey: Current Jan | 50.2 | 50.3 | 50.7 | | 09:00 | EUR | ECB Economic Bulletin | | 13:30 | USD | Initial Jobless Claims (Feb 2) | 220K | 224K | | 15:00 | USD | Wholesale Inventories Dec F | 0.40% | 0.40% | | 15:30 | USD | Natural Gas Storage | -73B | -197B |
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