30 Jan 2015
USD/JPY posts fresh lows after US GDP miss
FXStreet (Córdoba) - USD/JPY dropped to fresh daily lows as the greenback weakened across the board on the back of lower-than-expected US GDP data.
US Gross domestic product grew by 2.6% in the fourth quarter 2014, according to the advance estimate, slowing from a strong 5% rise in Q3. The reading missed expectations of a 3.3% annualized increase in Q4.
Meanwhile, consumer spending rose 4.3% following a 3.2% rise the previous quarter. PCE prices, a gauge of inflation closely watched by the Fed, fell by 0.5% in the last quarter of 2014, missing by far consensus of an 0.8% increase. Also on the data docket today, the Chicago PMI and the Reuters/Michigan consumer sentiment are due.
USD/JPY stretched south and hit a low of 117.49, but it remained well within its last days’ range. At time of writing, the pair is trading at 117.55, 0.6% below its opening price.
US Gross domestic product grew by 2.6% in the fourth quarter 2014, according to the advance estimate, slowing from a strong 5% rise in Q3. The reading missed expectations of a 3.3% annualized increase in Q4.
Meanwhile, consumer spending rose 4.3% following a 3.2% rise the previous quarter. PCE prices, a gauge of inflation closely watched by the Fed, fell by 0.5% in the last quarter of 2014, missing by far consensus of an 0.8% increase. Also on the data docket today, the Chicago PMI and the Reuters/Michigan consumer sentiment are due.
USD/JPY stretched south and hit a low of 117.49, but it remained well within its last days’ range. At time of writing, the pair is trading at 117.55, 0.6% below its opening price.