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30 May 2014
JPY remains strong - BTMU
FXStreet (Barcelona) - Lee Hardman, FX Analyst at the Bank of Tokyo Mitsubishi UFJ, remarks the bid tone around the JPY.
Key Quotes
"The yen has continued to firm modestly against the US dollar following the release of the weaker than expected US GDP report for Q1. The report revealed that the US economy contracted by an annualized rate of -1.0% in Q1."
"The downgrade to growth was mainly driven by a larger than initially estimated drag from inventories which subtracted -1.62 percentage points. The sharp slowdown in growth is likely to prove only temporary with economic growth already appearing to be rebounding strongly in Q2."
"The release yesterday of the latest initial jobless claims report provided further evidence that US labour market conditions have continued to strengthen despite the recent economic slowdown. The eight-week moving average of initial jobless claims has fallen to its lowest level since August 2007. The release of the initial jobless claims report has helped to dampen US dollar weakness following the release of weaker than expected Q1 GDP report."
Key Quotes
"The yen has continued to firm modestly against the US dollar following the release of the weaker than expected US GDP report for Q1. The report revealed that the US economy contracted by an annualized rate of -1.0% in Q1."
"The downgrade to growth was mainly driven by a larger than initially estimated drag from inventories which subtracted -1.62 percentage points. The sharp slowdown in growth is likely to prove only temporary with economic growth already appearing to be rebounding strongly in Q2."
"The release yesterday of the latest initial jobless claims report provided further evidence that US labour market conditions have continued to strengthen despite the recent economic slowdown. The eight-week moving average of initial jobless claims has fallen to its lowest level since August 2007. The release of the initial jobless claims report has helped to dampen US dollar weakness following the release of weaker than expected Q1 GDP report."