- The USD/JPY is trading in the 154.70s on Thursday, up a few tenths of a percent on the day after weaker-than-expected Japanese growth data weighed on the Japanese Yen (JPY).
The dollar found a price floor on Thursday after falling sharply on Wednesday on the back of data showing a slowdown in U.S. inflation, while Japan’s yen inched higher after jumping the previous day.
Wednesday’s data showed that U.S. inflation slowed to 0.3% in April from a month earlier, down from 0.4% in March and below expectations for another 0.4% reading.
The DXY=USD, which tracks the currency against six major peers, was last up 0.22% at 104.43 on Thursday after falling 0.75% on Wednesday as investors raised their bets on Fed rate cuts, now envisaging two reductions by the end of the year.
Some analysts said Fed officials will want to see proof of inflation’s downward path before countenancing cuts, a point made by Minneapolis Fed President Neel Kashkari on Wednesday.
Disinflation well underway now in the United States , Gradually growing cases for these multiple rate cuts that the markets have been lusting for, Looking foreward how the week ends but i definitely see the bears coming in for the DXY.
