USDJPY:
On Monday, the Japanese yen (JPY) continued to gain ground against the US dollar (USD). The USD/JPY pair has remained subdued as the Japanese yen strengthens in anticipation of the Bank of Japan (BoJ) raising interest rates in January, following the release of Consumer Price Index (CPI) inflation data in Tokyo last week.
Jibun Bank’s Japan Manufacturing PMI reached 49.6 in December, slightly above the flash estimate of 49.5 and improving from 49.0 in November. While this figure was the highest since September, it still signalled the sixth consecutive month of declining factory activity.
The Nikkei 225 index experienced a decline to 39,950 on Monday, following two days of gains. This decline followed a modest decrease in U.S. futures after Friday’s decline on Wall Street, driven by rising Treasury yields and indications of more measured interest rate cuts in 2025.
Trade recommendation: We follow the level of 158.00, if it is fixed above we consider Buy positions, if it bounces back we consider Sell positions.
Origin: FreshForex
