Yen Recovers as Japan Steps Up Verbal Intervention, But No Sign of Lasting Bottom Yet
| Action Insight Daily Report 6-27-24 |
Yen Recovers as Japan Steps Up Verbal Intervention, But No Sign of Lasting Bottom Yet |
Yen is showing broad-based recovery today, although the momentum remains weak, following its decline to the lowest level against Dollar since 1986. Japan has finally stepped up its verbal intervention efforts again, with Finance Minister Shunichi Suzuki expressing a "high sense of urgency" regarding Yen's depreciation. Suzuki pledged to "take necessary action as needed" and reiterated his "strong concern" over one-sided currency moves and their impact on the economy. Despite this, Yen remains the second worst performer of the week, showing minimal signs of a lasting bottom. Conversely, Dollar is the second strongest currency, trailing only Australian Dollar. Even if Japan intervenes in the markets, such efforts alone may not be sufficient to reverse USD/JPY trend unless Dollar also weakens against other major currencies... |
USD/JPY Daily Outlook Daily Pivots: (S1) 160.00; (P) 160.43; (R1) 161.26; More... Intraday bias in USD/JPY remains on the upside at this point. Sustained trading above 100% projection of 151.86 to 157.70 from 154.53 at 160.37 will pave the way to 161.8% projection at 163.97. On the downside, below 159.18 minor support will turn intraday bias neutral again first. But outlook will stay bullish as long as 157.70 resistance turned support holds. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 23:50 | JPY | Retail Trade Y/Y May | 3.00% | 2.00% | 2.40% | 2.00% | | 01:00 | AUD | Consumer Inflation Expectations Jun | 4.40% | 4.10% | | 01:00 | NZD | ANZ Business Confidence Jun | 6.1 | 11.2 | | 08:00 | EUR | Eurozone M3 Money Supply Y/Y May | 1.60% | 1.30% | | 09:00 | EUR | Eurozone Economic Sentiment Jun | 96.3 | 96 | | 09:00 | EUR | Eurozone Industrial Confidence Jun | -9.9 | | 09:00 | EUR | Eurozone Services Sentiment Jun | 6.5 | | 09:00 | EUR | Eurozone Consumer Confidence Jun F | -14 | -14 | | 12:30 | USD | Initial Jobless Claims (Jun 21) | 230K | 238K | | 12:30 | USD | Durable Goods Orders May | -0.10% | 0.60% | | 12:30 | USD | Durable Goods Orders ex Transport May | 0.10% | 0.40% | | 12:30 | USD | Goods Trade Balance (USD) May P | -96.0B | -99.4B | | 12:30 | USD | Wholesale Inventories May P | 0.20% | 0.10% | | 12:30 | USD | GDP Annualized Q1 F | 1.30% | 1.30% | | 12:30 | USD | GDP Price Index Q1 F | 3.00% | 3.00% | | 14:00 | USD | Pending Home Sales M/M May | 0.60% | -7.70% | | 14:30 | USD | Natural Gas Storage | 53B | 71B |
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