The fluctuation of the US dollar in a narrow range tilted to the upside during the Asian session, to witness its bounce for the second session from the lowest since March 18 against the Japanese yen, following the developments and economic data that were reported by the Japanese economy and ...
The fluctuation of the US dollar in a narrow range tilted to the upside during the Asian session, to witness its bounce for the second session from the lowest since March 18 against the Japanese yen, following the developments and economic data that were reported by the Japanese economy and on the cusp of developments and economic data expected Thursday by the US economy The largest economy in the world.
At exactly 05:59 AM GMT, the US dollar pair rose against the Japanese yen by 0.11% to 107.29 levels compared to the opening levels at 107.17, after the pair achieved its highest level during the trading session at 107.57, while achieving the lowest at 107.05.
We have followed about the Japanese economy revealing the annual reading of the monetary base index by the Bank of Japan, which showed a slowdown in the pace of growth to 2.8% compared to 3.6% last January, worse than expectations that indicated a slowdown in the pace of growth to 3.5%, and it is reported that The Japanese central bank has started using this indicator as its main operating objective for the monetary base scheme since April of 2013.
Otherwise, yesterday we followed the announcement of Japanese Prime Minister Shinzo Abe about his government’s decision to detain all expatriates from outside Japan for a period of 14 days in quarantine, including the Japanese decision coming from abroad, as well as announcing the ban on those coming from 49 foreign countries to his country until notification Another, and this came hours after a Japanese government spokesman expressed the priority for the time being to bring the spread of the Coruna virus under control.
A Japanese government spokesman also noted yesterday, Wednesday, that the current situation does not require the government to resort to establishing a state of emergency in Japan, denying the report that touched on the possibility of Japan declaring a state of emergency at the beginning of this month, with his assertion that the government is doing everything in its power to support employment. And the stability of the third largest economy in the world, explaining that his country is on the verge of declaring a state of emergency for the coronavirus, but the time has not yet come.
In another context, we also followed yesterday, Bank of Japan Governor Haruhiko Kuroda expressed his admission that central banks cannot deliver banknotes printing for an extended period without borders, with his insistence that his country does not face a crisis in price stability at the moment, and informed him that the Bank of Japan does not Inflation growth continues to target around 2%, and in order to do so, it will adjust monetary policy when needed to maintain price stability.
On the other hand, investors are currently awaiting by the US economy the release of the index of subsidy requests for the last week on March 28, which may reflect an increase of 217 thousand requests to 3,500 thousand applications compared to 3,283 thousand requests in the previous weekly reading, and this comes in conjunction with the issuance Reading the merchandise trade balance index, which may explain the deficit narrowing to $ 40.6 billion, compared to $ 45.3 billion in February.
This also comes in conjunction with the disclosure of the initial reading of the wholesale stocks index, which may show a 0.2% increase compared to a 0.5% decline in February. Otherwise, we followed yesterday by President Donald Trump's warning that the coming period is "painful" for his country, and this came after His announcement last Sunday of the extension of guidelines for social restrictions in America until the end of this month as part of efforts to reduce the spread of the Corona virus.
It is reported that US President Trump recently signed a stimulus package estimated at $ 2 trillion to support the largest economy in the world and American families and companies in facing the repercussions of the Corona virus in the wake of the bill’s passage in the US Congress last week, and according to the latest figures released by the organization, the number of cases has increased. More than 827,000 people were infected with the virus, and 40,777 people died in 205 countries.
The dollar versus the yen confirmed the breach of the 107.68 level after the daily candle closed below it, reinforcing the expectations to continue the decline in the intraday and short term, and the way is open to achieving our awaited target located at 106.44.
Therefore, the negative pressure will remain in control during the upcoming sessions, and breaking the targeted level will extend the descending wave to reach 105.20, noting that breaching 107.68 and holding above it might push the price to test the areas of 109.20 before any new attempt to decline.
The expected trading range for today is between 106.45 support and 108.20 resistance.
Expected trend for today: bearish.