EUR/USD 1.15323
0.004%
Gold 4082.93
0.141%
Oil 74.594
0.354%
USD/JPY 157.540
-0.129%
GBP/USD 1.34513
-0.002%
GBP/JPY 211.913
-0.123%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On August 5th, Kansas City Federal Reserve President Schmid stated, "The Fed needs a tighter monetary policy to restore inflation to its 2% target. The Feds current policy stance is not restrictive. Inflation is currently too high, which is worrying, and the Fed should not ignore it, even if it is caused by a supply shock. The recent easing of energy prices may be temporary. Investment in artificial intelligence is pushing up inflation, and the Fed should not ignore this."Federal Reserves Schmid: Im uneasy about the assumption that the inflation outbreak will be temporary. Our inflation problem isnt just about energy.Futures News, August 5th - According to foreign media reports, Malaysian palm oil futures on the Bursa Malaysia Derivatives Exchange (BMD) are likely to open lower on Wednesday morning, following the decline in external markets. Statements from Qatari and US officials boosted hopes for a diplomatic solution to the oil shipping issue in the Strait of Hormuz, causing oil prices to fall on Tuesday, closing at a three-week low. During Wednesdays electronic trading session, Brent crude futures fell further, coupled with a decline in Chicago soybean oil futures, which will drag down the early performance of Malaysian crude palm oil futures. An expected increase in Malaysian palm oil inventories is also unfavorable for prices. The Malaysian Palm Oil Board (MPOB) will release monthly data on August 10th. A survey shows that Malaysian palm oil exports in July will surge 14.8% month-on-month, production will increase by 7.4%, and inventories will rise to a five-month high. However, strong palm oil exports in July and the potential threat of a strong El Niño phenomenon to palm oil production in Southeast Asia will provide potential support for the palm oil market. Shipping surveyors estimate that Malaysian palm oil exports in July increased by 12.1% to 19.5% month-on-month.Federal Reserves Schmid: The recent easing of energy prices may be temporary.Federal Reserves Schmid: The job market appears to be broadly balanced.

The USD/JPY Currency Pair Swings in a 60-Pip Range as Bulls Reclaim 124.00 on a Positive Note

Drake Hampton

Apr 08, 2022 10:07

Tips

  • The USD/JPY is up 1.26 percent this week.

  • The greenback strengthens as investors shrug off geopolitical concerns.

  • Forecast for the USD/JPY Exchange Rate: As bulls, we are leaning upward and are aiming for the YTD high of 125.10.

 

As the Asian Pacific session opens, USD/JPY pair extends its weekly gains on broad US dollar strength. The USD/JPY remains strong at 124.15, after trading in a tight 55-pip range over the last three days as the Eastern Europe conflict between Russia and Ukraine enters its sixth day.

 

Asian market futures continue to trade higher, despite the ongoing Russia-Ukraine confrontation. Contrary to the positive tone of Asian market futures, which point to a stronger open, US equities concluded the afternoon in a divided mood. Investors shrugged aside Russia-Ukraine tensions on Thursday, despite Russian Foreign Minister Sergei Lavrov's complaint that Ukraine's new draft accord submitted to Russia does not meet Russia's demands on Crimea and Donbas. Meanwhile, recent reports indicate that Russia is regrouping soldiers in preparation for another offensive aimed at reclaiming Ukraine's eastern territories, Donetsk and Luhansk.

 

The North American session on Thursday featured Fed speakers, lead by St. Louis Fed President James Bullard, who stated that the Fed is still behind the curve in its efforts to contain inflation. Bullard said that by the second half of the year, he would like to see the Federal Funds Rate (FFR) at 3.5 percent.

 

Later that day, Chicago Fed President Charles Evans indicated that "we (the Fed) will reach neutral by the end of this year or early next."

 

On the Japanese docket, the Current Account for February and Consumer Confidence for March would be the headline economic data releases. On the US front, Wholesale Inventories for February will be released on a monthly basis. 

USD/JPY Forecast: Technical Analysis

The USD/JPY continues bullish, but the average daily range (ADR) has been 55 pips during the last three days. Daily moving averages (DMAs) below the spot price further reinforce the uptrend, and it's worth noting that the 100-DMA at 109.48 is on the verge of crossing over the 200-DMA at 109.60.

 

With that considered, the first resistance level for the USD/JPY would be 124.00. If the latter is breached, the March 29 daily high of 124.30 will be revealed, followed by the year-to-date high of 125.10.


image.png 


Suggestion