USD/JPY – Japanese yen yawns as U.S retail sales disappoint

May 15 15:05 2019 Print This Article

USD/JPY is almost unchanged on Wednesday. In the North American session, the pair is trading at 109.57, down 0.03% on the day. There are no major Japanese events. In the U.S., retail sales and core retail sales both missed expectations. On Thursday, the U.S. releases three key indicators – building permits, unemployment claims and the Philly Fed Manufacturing Index.

U.S. retail sales in April were weaker than forecast, but the yen didn’t take advantage. Retail sales declined 0.2%, after a strong gain of 1.6% in March. Core retail sales posted a small gain of 0.1%, much lower than the estimate of 0.7%.

Another round of tariffs between the U.S. and China has triggered sharp swings in the equity markets. This has also led to significant volatility from USD/JPY, as the safe-haven yen has climbed when risk appetite has sagged, and conversely, the yen has fallen when trade tensions have eased and risk apprehension has declined. The yen has posted four straight winning weeks, corresponding to sharp declines on global equity markets. The new tariffs are set to take effect in several weeks and could continue to cause volatility in the stock markets. If this happens, traders can also expect swings in the movement of USD/JPY.

Read More

About Article Author

Market Pulse

Established in 2006, MarketPulse is a free news site that provides full-time coverage of the world's largest financial markets, focusing on forex, commodities, and global indices research and analysis. Armed with a global team of securities analysts and strategists, Market Pulse provides timely, accurate, and informative research on major macroeconomic trends, technical analysis, and worldwide events that impact different asset classes and investors.

Related Items

Daily Markets Broadcast 2019-08-21

Daily Markets Broadcast 2019-08-21 Stocks rebound is short-lived The Wall Street rebound came to a halt yesterday after a three-day rally as lower yields pressured the financial sector. European shares slid after Italian PM Conte announced his resignation. Hong Kong faces transport disruptions tod ...

August 19, 2019 Charts

S&P/TSX E&P index lowest since at least 2001; Brent-WTI is its narrowest since July 2018; AECO basis has narrowed in recent months ...

US Dollar Retreats Awaiting FOMC Minutes

The US dollar fell across the board against major pairs on Tuesday ahead of the central bank summit hosted by the Fed. The U.S. Federal Reserve will be releasing the minutes from the July Federal Open Market Committee (FOMC) meeting where it cut the benchmark rate by 25 basis points. The minutes wi ...

The Next Generation

Financial advisors receive multiple emails every week about the newest piece of financial technology. From portfolio management to financial planning software and everything in-between, it’s impossible to keep up with everything. And this is why we’re so excited to bring the next generation of c ...

US Real Estate Investment Trusts Led Markets For Second Week

Real estate shares are on a roll. For a second week, real estate investment trusts (REITs) posted the strongest weekly gain for the major asset classes, based on performances via a set of exchange-traded funds. The leading gain is no mean feat when you consider that risk-off sentiment has returned ...

2019 AGM and Convention: Fostering a Stronger Economic Environment for Business

From learning about digital advocacy strategies and trends to how the upcoming election will affect our members, our AGM enables our chamber network to be a part of a larger conversation on how to support and create lasting opportunities for Canadian business in an ever-changing society. ...