Market participants are likely keeping a close eye on the trend of cross-yen pairs, which are generally returning to a stronger yen.

Market participants are likely keeping a close eye on the trend of cross-yen pairs, which are generally returning to a stronger yen.

15.02.2024

In yesterday’s U.S. currency trading, the U.S. dollar fell against the yen after the U.S. MBA Mortgage Applications Index, released yesterday, dropped to -2.3% from the previous reading of 3.7%. The USD/JPY pair fell from 150.788 to 150.350.During today’s Asian trading session, the pair has continued to hit new lows, extending its decline to 150.152. We will need to monitor price movements during U.S. trading hours to see if this trend will offset the sharp gains triggered by the U.S. CPI release.

European currencies saw the pound fall sharply against the yen after yesterday’s release of UK January retail sales data showed a year-on-year increase of 4.9%, down from 5.2% the previous month. The GBP/JPY pair fell from 189.833 to 188.771.During today’s Asian trading session, the pair has continued to test lower levels, falling to 188.631. We will be watching closely to see whether the pound remains weak against the yen and the corrective price movement continues, or if the market shifts toward strength.

Today, Japan’s GDP is scheduled for 8:50, South Korea’s trade balance for 8:55, and Singapore’s GDP for 9:00.9:30 AM: Australian employment data, 1:30 PM: Japanese industrial production, 4:00 PM: UK GDP, UK industrial production, and Norwegian trade balance, 4:30 PM: Swiss producer import prices, 5:00 PM: Swiss consumer confidence index, and remarks by ECB President Lagarde, 7:00 PM:trade balance, 10:30 PM US retail sales, US Philadelphia Fed Business Outlook Index, US initial jobless claims, 11:15 PM US industrial production, and 12:00 AM US business inventories. We will closely monitor the movements of cross-yen pairs, which are generally seeing a return to yen strength.