Market participants may be waiting to see how much further USD/JPY can rise following the release of U.S. PPI data
14.10.2024
- Switzerland – Producer Import Prices
- The Japanese and U.S. markets are closed for a holiday
Last weekend, the U.S. dollar rose against the yen after the U.S. Producer Price Index (PPI), released on Friday the 11th, came in 0.1 percentage points higher year-over-year than the previous month’s 1.7%, reaching 1.8%.The USD/JPY pair rose from 148.403 to 149.278. On the hourly chart, the price moved from below the 20-period moving average (MA) to above it. On the 4-hour chart, the 20-period MA is acting as support, while on the daily chart, the price has risen to just below the 200-period exponential moving average (EMA).
Despite the fact that the UK’s August industrial production figures, released on the 11th, showed a year-on-year decline of 1.6%—a worsening from the previous month’s 1.2% decline—the pound rose against the yen.GBP/JPY rose from 193.816 to 195.224, moving upward along the +2σ line of the hourly Bollinger Bands. On the 4-hour chart, it is trading above the 20-day moving average, and on the daily chart, it has remained at the same level for seven consecutive trading days.
Today’s schedule includes: Singapore’s real GDP at 9:00, Sweden’s expected price trends at 13:30, India’s wholesale price index and Switzerland’s producer import prices at 15:30, the Czech Republic’s current account balance at 17:00, India’s consumer price index, the Philippines’ current account balance, and Mexico’s consumer confidence index at 21:00, and Russia’sTrade Balance, US: Kashkari (President of the Minneapolis Fed) remarks, 28:00 US: Waller (Federal Reserve Board Member) remarks, and 30:00 South Korea: Import/Export Price Inflation Rate. We will closely monitor the upside potential of USD/JPY, which rose following the US PPI release.
Author: Keisuke Sakurai
