Will the CHF/JPY, which fell despite the PPI recovery, show signs of a rebound? We’ll be keeping a close eye on this.

Will the CHF/JPY, which fell despite the PPI recovery, show signs of a rebound? We’ll be keeping a close eye on this.

16.07.2024

In the U.S. currency market the previous day, the Canadian dollar fell against the yen. The CAD/JPY pair fell from 116.038 to 115.054.The pair’s upside was capped by the 20-period moving average (MA) on the hourly chart. On the 4-hour chart, it has broken below the 200-period simple moving average (SMA), and on the daily chart, it has halted its decline just short of the 75-period MA. We need to carefully assess whether the Canadian dollar will continue to weaken against the yen.

Despite the Swiss June Producer Price Index (PPI), released yesterday, improving to 0.0% from -0.3% the previous month, the Swiss franc fell against the yen. The CHF/JPY pair dropped from 176.857 to 175.863.The 20-period moving average (MA) on the hourly chart acted as resistance. On the 4-hour chart, the price is hovering just below the 200-period simple moving average (SMA), and a rebound has been observed during today’s Asian trading session.

Today’s economic indicators include: Japan’s Tertiary Industry Activity Index at 1:30 p.m., France’s Current Account Balance at 3:45 p.m., Germany’s ZEW Economic Sentiment Survey and the Eurozone’s ZEW Economic Sentiment Survey and Trade Balance at 6:00 p.m.,at 21:15: Canada’s Housing Starts; at 21:30: Canada’s Consumer Price Index, U.S. Retail Sales, and U.S. Import Price Index; at 23:00: U.S. Business Inventories;U.S. NAHB Housing Market Index; at 27:45, remarks by U.S. Federal Reserve Governor Kugler; and at 7:45 the following day, New Zealand’s Q2 Consumer Price Index. We will be watching closely to see if the CHF/JPY pair, which fell despite the PPI recovery, will show any signs of a rebound.