The Japanese yen rallied against its most-traded rivals today even though macroeconomic data released in Japan during the trading session was not particularly good for the most part. The possible reason for the currency’s gains was the slump of global stocks caused by signs that central banks around the world are planning to drop monetary stimulus.
Japan’s core Consumer Price Index rose 0.4% in May from a year ago, matching expectations and demonstrating a faster growth than in April. But the Tokyo core CPI showed no change after rising 0.1% in the preceding month even though economists promised an even bigger increase by 0.2%.
Household spending fell 0.1% in May in real terms, but the drop was nowhere near as big as experts had forecast — 0.7%. The unemployment rate jumped unexpectedly from 2.8% to 3.1% in May. Industrial production dropped 3.3% last month, year-on-year, a bit more than was predicted (3.1%).
USD/JPY dropped from 112.15 to 111.93 as of 9:52 GMT today, and its daily low was at 111.72. EUR/JPY declined from 128.32 to 127.60. GBP/JPY fell from 145.84 to 145.32.
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