By the end of the week the USD/JPY pair stopped falling as significantly as was observed earlier, but the statistics may return the Yen to growth.
On Friday, the Japanese Yen suspended its sharp appreciation in tandem with the US dollar. After five days of notable sales in USD/JPY pair, investors are tired. However, todays released statistics can give new impetus to the yen to strengthen its position.
Japan's unemployment rate at the end of February fell to 3.5% against the January figure of 3.6%. The reduction in the number of unemployed was due to the stimulation of the economy of Japan and optimization of support to the real estate sector. This fact, confirmed with a macroeconomic report, can give the Yen additional support.
Today it became known that household spending in Japan in February fell by 2.9% y/y, even after adjusting for inflation. The trend is strong and shaped, it has been observed for thirteen months in a row. This may indicate that consumers are still not confident about the future of the economy and fear a new round of crisis.
For now the USD/JPY pair remains in the range of 119.0-120.50. Attention should be paid to the evening movements in the euro/dollar against the backdrop of the speech of the head of the US Federal Reserve Janet Yellen. Who knows what she will please investors with today.Publication source