Skip to content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
USD/JPY Brushes Off BSI Surveys, Following Futures Lower

USD/JPY Brushes Off BSI Surveys, Following Futures Lower

Daniel Dubrovsky, Strategist

Talking Points

  • Yen rally stalls as Japan BSI business survey data is released
  • The survey showed deepened negativity in company outlooks
  • Anti-risk Yen followed S&P 500 and Nikkei 225 futures lower

Keep an eye on short-term trends for Japanese Yen Crosses using the Grid Sight Index (GSI) here.

The Japanese Yen halted its appreciation against the major counterparts in early Asia trade as Japan released second quarter business condition surveys. Heading into the announcement, the anti-risk Yen was rising as Nikkei 225 and S&P 500 futures declined.

Japan’s Ministry of Finance showed that the large firm all industry outlook fell to -7.9 in the second quarter of 2016 versus -3.2 in the first quarter. The manufacturing survey declined to -11.1 in the second quarter from -7.9 in the first quarter. Both of the business condition outlooks showed the most negativity since the second quarter of 2014.

The data itself appeared to have no significant impact on the Japanese Yen likely due to its limited implications for near-term Bank of Japan policy adjustment bets. The BOJ will have a new monetary policy statement later this week that could reveal the central bank’s next course of action.

Shortly after the Japanese surveys crossed the wires, Nikkei 225 and S&P 500 futures took a pause from earlier declines before resuming the dominant downtrend afterwards. This saw the anti-risk Yen temporarily see-sawing but ultimately strengthening anew. Meanwhile, the DailyFX Speculative Sentiment Index (SSI) is showing a reading of 3.2 following the announcement implying further USD/JPY weakness ahead.

Want to learn more about the DailyFX SSI indicator? Click here to watch a tutorial.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES