USD/JPY to extend its fall on a break below 108.65

USD/JPY trades marginally lower below the 109.00 figure as risk appetite keeps pressuring the dollar. The pair is technically bearish in the near-term and could accelerate its slump, according to FXStreet’s Chief Analyst Valeria Bednarik.  

US Retail Sales are foreseen bouncing from -3% to 5.9% MoM in March  

“Bank of Japan Governor Haruhiko Kuroda hit the wires at the beginning of the day, warning that core inflation is likely to fall in the near-term but turn positive and accelerate the pace of increase thereafter. On the economic recovery, Kuroda maintained a cautious stance amid the ongoing pandemic pressuring consumption.”

“The focus is now on US March Retail Sales, foreseen up by 5.9% MoM after falling 3% in the previous month. The core reading is expected at 6.3%, improving from -3%. The US will also publish Initial Jobless Claims for the week ended April 9, foreseen at 700K, and the March Industrial Production and Capacity Utilization.”

“A steeper decline could be expected on a break below 108.65, the immediate support.”