- USD / JPY finds support below 107 in American trading hours.
- Retail sales in the United States plunged from a record 16.4% in April.
- The UoM consumer sentiment index unexpectedly rebounded in May.
The risk environment helped the JPY to strengthen at the start of the US session and led to the USD / JPY pair below 107. However, the pair gained ground in the last hour and cleared its daily losses. At the time of writing, the USD / JPY was up 0.07% on a daily basis to 107.31.
Mixed U.S. data
Earlier today, data released by the US Census Bureau showed that Retail sales in the United States fell 16.4% in April. This reading marked the largest monthly decline in the history of data and turned out to be worse than market expectations for a drop of 12%. In addition, the Federal Reserve announced that industrial production had contracted by 11.2%.
However, the UoM consumer sentiment index in May’s preliminary estimate unexpectedly recovered to 73.7 from 71.8 in April and helped market sentiment to improve.
the US dollars The index, which fell to a daily low of 100.08, reversed its direction after the UoM report and was last seen gaining 0.08% on the day at 100.35. Meanwhile, major Wall Street indices have moved away from daily lows to make resistance from the JPY refuge difficult.
There will be no further release of macroeconomic data for the rest of the day and the USD valuation should continue to affect the movements of the USD / JPY.