The stronger American dollar shoots (USD) are shown this morning in USD/JPy, and the couple is mentioned above despite the stronger than the expected February CPI print day by day, FX analyst Francesco Pesole.
Let him see another move in the Bij rates
“Basic inflation was 3.0%year -on -year compared to 2.9%expectations. Printing still means a slight slowdown from January (3.2%), and therefore markets may lack incentive to bring another increase to May. The basic issue of our economist is instead that it can see the next movement movement.”
“We suspect that USD/JPY is facing similar unwinding of shorts to the rest of the G10 pair. Considering Yen’s safe appeal before tariff announcements and our jastrzębny view at the Bank of Japan, we are not convinced that the reflection of USD will be reproduced primarily by a materially higher USD/JPY”.
