Japanese Yen Unmoved After CPI, Jobs and Industrial Production Data
- Japan National CPI comes in at 3.4 % Y/Y for July vs. 3.4% Expected, 3.6% Prior Month
- Japan Jobless Rate Comes in at 3.8% for July vs. 3.7% Expected; 3.7% Prior Month
- Japanese Yen Little-Changed As Headline Figures Reported in Line with Expectations
The Japanese Yen remained little-changed against its major counterparts as Japan released its inflation, industrial production and employment reports for the month of July. The headline inflation rate came in at 3.4 percent, in line with expectations and slightly lower than June’s 3.6 percent. Industrial Production fell by 0.9 percent from the same period last year. This was larger than the expected drop of 0.1 percent and last month’s expansion of 3.1 percent. The Unemployment Rate was reported slightly higher at 3.8 percent, rising for the second straight month. The expected figure was 3.7 percent, unchanged from the prior month.
The Japanese Yen remained little changed as the headline inflation and employment data were relatively in-line with market expectations and was likely already priced in by traders. The disappointing Industrial Production report did not seem to meaningfully alter Bank of Japanpolicy expectations considering benchmark JGB bond yields were broadly unresponsive to the announcement, hinting the figures carried limited implications for the currency.
USDJPY [ 15 mins - 08/28/2014]. Chart created using FXCM Marketscope
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