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30 Mar 2015
Japan tankan survey to boost JPY bulls, short USD/JPY – Growth Aces
FXStreet (Barcelona) - The Growth Aces Research Team remains bearish on USD/JPY, expecting an improvement in Japanese business sentiment to push the pair lower towards 117.50 levels.
Key Quotes
“Japanese Prime Minister Shinzo Abe said that the government and the Bank of Japan are not conducting policy to target the currency market but are pursuing quantitative easing to achieve price stability.”
“BOJ Governor Haruhiko Kuroda added that as long as currencies move in line with fundamentals there would be no negative impact on the economy.”
“Japanese factory output fell 3.4% mom in February due to declines in production of machinery, cars and electronics. The reading was much weaker than the median forecast for a 1.8% decline. It was the biggest drop since June last year.”
“Manufacturers surveyed by the Ministry of Economy, Trade and Industry expect output to fall 2.0% in March and increase 3.6% in April.”
“The output data come two days before the BOJ's closely watched tankan survey, which is expected to show business sentiment improved in the first quarter and may support the JPY bulls.”
“We stay USD/JPY short for 117.50.”
Key Quotes
“Japanese Prime Minister Shinzo Abe said that the government and the Bank of Japan are not conducting policy to target the currency market but are pursuing quantitative easing to achieve price stability.”
“BOJ Governor Haruhiko Kuroda added that as long as currencies move in line with fundamentals there would be no negative impact on the economy.”
“Japanese factory output fell 3.4% mom in February due to declines in production of machinery, cars and electronics. The reading was much weaker than the median forecast for a 1.8% decline. It was the biggest drop since June last year.”
“Manufacturers surveyed by the Ministry of Economy, Trade and Industry expect output to fall 2.0% in March and increase 3.6% in April.”
“The output data come two days before the BOJ's closely watched tankan survey, which is expected to show business sentiment improved in the first quarter and may support the JPY bulls.”
“We stay USD/JPY short for 117.50.”