USDJPY RECLAIMS 143 LEVELS; JPYINR DOWN HALF A PERCENT

Published on Aug 08, 2023 11:54

USDJPY is reclaiming back 143 levels while entering the European session on Tuesday as dollar is amassing strength overseas tracking higher benchmark treasury yields hovering above 4%. The dollar index is seen firmly rising above 102 mark after Federal Reserve Governor Michelle Bowman said yesterday that the US central bank may need to raise rates further in order to fully restore price stability. �Additional rate increases will likely be needed to get inflation on a path down to the FOMC`s 2% target,� Bowman said. Meanwhile, household spending in Japan was down 4.2 percent on year in June, the Ministry of Internal Affairs and Communications said, coming in at 275,545 yen. That missed expectations for an annual decline of 4.1 percent following the 4.0 percent contraction in May. Japan posted a current account surplus of 1.509 trillion yen in June, the Ministry of Finance said on Tuesday, following the 1.862 trillion yen surplus in May. Exports were up 0.5 percent on year to 8.630 trillion yen and imports slumped 14.3 percent to 8.301 trillion yen for a trade surplus of 328.7 billion yen. USDJPY was quoting at 143.28, up 0.4% on the day. On the NSE, JPYINR futures were seen covering some intraday loses but still down 0.45% on the day at 58.14.