(MENAFN- DailyFX) :
Japanese Yen was little changed despite stronger manufacturing PMI growth Risk trends continue to be the key focus for as well as looming CPI data Have a question about the Yen reaction?
The Japanese Yen failed to show much enthusiasm for a solid manufacturing PMI print of 52.8. Keep in mind, a reading above 50 indicates expansion while a level below means contraction. August's preliminary report showed the manufacturing sector expanding at its fastest pace since May and up from 52.1 in July.
Today's PMI reading also marked a twelfth consecutive month of expansion. According to the report: output, new orders and export orders rose at faster paces. In addition, employment increased as backlogs rebounded and optimism moderated.
JPY's tepid reaction might have in-part been due to traders' focus on its role within larger global risk sentiment dynamics. Indeed, the anti-risk currency was appreciating as the Nikkei 225 fell leading up to the data's release. This also follows a jubilant Tuesday for the world's major stock markets which in-turn saw the Yen depreciate.
Looking ahead there are a couple of major event risks that may stir Japanese yen volatility. July's national CPI reading is due late into Thursday's session. Currency Strategist James Stanley mentioned that a better-than-expected result . On Friday, we will hear from Fed's Janet Yellen and ECB's Mario Draghi during the annual economic symposium at Jackson Hole.
MENAFN2308201700760000ID1095761661
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.