The Yen took some time off. Overview for 18.05.2020
Early in another trading week, USDJPY is barely moving; investors need some new ideas.
The Japanese Yen is rather inactive against the USD on Monday morning. The current quote for the instrument is 107.15.
It seems like investors lack new trading ideas at the beginning of another week of May. Obviously, they prefer to save strengths and wait for new catalysts.
The statistics published in the morning showed that the Japanese GDP managed to stand against external factors and lost only 0.9% q/q against the expected reading of -1.1% q/q. On YoY, the indicator plummeted by 3.4%.
The components of the report show that private consumption lost 0.7% against the expected reading of -1.6%. The private consumption amounts to 605 of the Japanese GDP. It’s quite apparent why people do not spend money: they don’t know what might happen in the future and aren’t sure whether the country’s economy is able to resist another sharp economic slowdown.
The Japanese Export and Import lost 6.0% q/q and 4.9% q/q respectively.
In general, these numbers might have been a good piece of news for the Japanese currency, because expectations were much worse. However, it seems like market players aren’t ready to make any movements right now.