By FXEmpire.com
USD/JPY Fundamental Analysis April 20, 2012, Forecast
Analysis and Recommendation: (close of Asian session)
The USD/JPY has fallen 0.7% from yesterday’s close to 81.45 as BoJ policymakers continue to speak of ‘powerful easing’ in order to achieve the recently announced inflation target. The term has now been used twice in the past week and is indicative of officials’ desire to cement a floor in USDJPY. Fundamentals are also weak given the downward revision to IP data, and in the near term, trade figures may provide for further JPY weakness as rising energy imports continue to weaken Japan’s balances. The BoJ will make its next policy decision on April 27th, with the outlook for further asset purchases to be influenced by CPI figures set for release on April 26th. This morning’s trade balance came in well below forecast at -.62T when markets were expecting -0.43T
Economic Data for April 18 & 19, 2012 actual v. forecast
|
GBP |
Average Earnings Index +Bonus |
1.1% |
1.3% |
1.3% |
|
|
GBP |
Claimant Count Change |
3.6K |
7.0K |
4.5K |
|
|
GBP |
MPC Meeting Minutes |
||||
|
NZD |
CPI (QoQ) |
0.5% |
0.6% |
-0.3% |
|
|
Apr. 19 |
JPY |
Trade Balance |
-0.62T |
-0.43T |
-0.32T |
|
AUD |
NAB Quarterly Business Confidence |
-1.00 |
1.00 |
Economic Events scheduled for April 20, 2012 that affect the NZD, AUD, and JPY
13:00:00 G20 Meeting
Government Bond Auction Schedule:
Apr 20 15:30 Italy Details CTZ/BTPei on Apr 24 & BOT on Apr 26
Apr 23-27 n/a UK Re-opened 3.75% 2052 Conventional Gilt syndication (further details tba)
Apr 23 09:30 Germany Eur 3.0bn new Apr 2013 (12M) Bubill
Apr 23 10:00 Belgium OLO Auction cancelled
Apr 23 15:30 Italy Details BTP/CCTeu on Apr 27
Apr 24 00:30 Japan Auctions 20Y JGBs
Apr 24 08:30 Holland Eur 1.5-2.5bn Jul 2014 & Jan 2037 DSL auction
Apr 24 08:30 Spain 3 & 6M T-bill auction
Apr 24 09:10 Italy Auctions CTZ/BTPei
Apr 24 14:30 UK Details Conventional Gilt auction on May 01 & I/L auction on May 03
Apr 24 17:00 US Auctions 2Y Notes
Apr 25 09:10 Sweden Auctions T-bills
Apr 25 09:30 Germany Eur 3.0bn new Jul 2044 Bund
Apr 25 14:30 Sweden Details nominal bond auction on May 02
Apr 25 17:00 US Auctions 5Y Notes
Apr 26 00:30 Japan Auctions 2Y JGBs
Apr 26 09:10 Italy BOT auction
Apr 26 14:30 Sweden Details I/L bond auction on May 03
Apr 26 17:00 US Auctions 7Y Notes
Apr 27 09:10 Italy BTP/CCTeu auction
Originally posted here
