USD/JPY trades near a daily high of 109.95, maintaining its positive stance, despite receding demand for the American dollar. According to FXStreet’s Chief Analyst Valeria Bednarik, the pair has room for a bullish breakout.
See: Japanese yen underperformance set to continue – MUFG
Markets are in a risk-on mood amid renewed hopes for an economic comeback
“Financial markets’ mood is upbeat amid renewed hopes for an economic comeback following solid US macroeconomic data released on Thursday. The positive sentiment was boosted by news indicating that the White House is set to propose a $ 6 trillion budget plan.”
“The US will publish April Personal Income and Personal Spending, and Personal Consumption Expenditures for the same month. The Federal Reserve’s favorite inflation measure, the core PCE price index, is seen at 2.9% YoY. The US will also release the Michigan Consumer Sentiment Index for May, foreseen at 82.9.”
“Japanese data released at the beginning of the day failed to impress. The Unemployment Rate rose to 2.8% in April, while Tokyo inflation printed at -0.4% YoY in the same month.”
“The USD/JPY pair needs to clear 110.10 to be able to extend its advance heading into the weekend.”
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