Home USD/JPY: NFP unlikely to smite greenback, 110.00 level on the cards
FXStreet News

USD/JPY: NFP unlikely to smite greenback, 110.00 level on the cards

The USD/JPY pair is trading at around 109.30 ahead of the Nonfarm Payrolls report due out at 12:30 GMT, bullish in the short-term, may run to 110.00 on a break above 109.45, FXStreet’s Chief Analyst Valeria Bednarik reports.

Don’t miss: Ten major banks expectations for NFP May report

Key quotes

“The US is expected to have lost 8 million jobs in May, while the unemployment rate is seen jumping to 19.8% from 14.7%. The chances of a steeper dollar’s decline with numbers within expectations are limited.”

“Beyond the 109.45 daily high, and within a risk-on environment, USD/JPY could extend its rally towards the 110.00 region with the release of the NFP report. To the downside, the main support comes at 108.65, with bulls retaining control as long as the pair remains above it.”

“Japanese data released overnight was mixed, as Overall Household Spending declined by 11.1% YoY in April, better than anticipated. However, the preliminary estimate of the April Leading Economic Index plunged to 76.2 from 85.1, also missing the market’s expectations.”


FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.