Talking Points:

Chinese Retail Sales figures reported worse-than-expected immediately prompting a bearish reaction in AUDJPY. The gauge of consumer spending in the economy rests at the lowest level since 2011 adding to concerns over a slowdown in economic growth in China. Retail Sales, Industrial Production and fixed investment data is a useful gauge of underlying growth based-based measures.

Currency

Release

Actual

Survey

Previous

CNY

Industrial Production YTD (YoY) (APR)

8.7%

8.7%

8.7%

CNY

Industrial Production (YoY) (APR)

8.7%

8.9%

8.8%

CNY

Retail Sales YTD (YoY) (APR)

12.0%

12.0%

12.0%

CNY

Retail Sales (YoY) (APR)

11.9%

12.2%

12.2%

CNY

Fixed Assets Ex Rural YTD (YoY) (APR)

17.3%

17.7%

17.6%

Earlier this week copper prices soared on speculation over the loosening of restrictions on capital flows into China.

Disappointing Chinese Retail Sales Prompts AUD/JPY Decline

AUD/JPY 5-Minute Chart. May 13, 2014. Charted created using FXCM Marketscope 2.0.

-- Written by David Maycotte, DailyFX Research Team. Questions, comments or concerns can be sent to dmaycotte@FXCM.com.

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