Investing.com - The U.S. dollar fell to a one-week low against the yen in subdued trade on Wednesday, after a flurry of downbeat Japanese data, while the country’s government reiterated its intention to weaken the yen when necessary.
USD/JPY hit 77.76 during early European trade, the pair’s lowest since December 21; the pair subsequently consolidated at 77.76, shedding 0.15%.
The pair was likely to find support at 77.63, the low of December 13 and resistance at 78.05, the high of December 20.
With most investors already away on year-end leave, trading volumes were low, resulting in subdued trade.
Preliminary data showed earlier that industrial production in Japan fell more-than-expected in November, tumbling 2.6% after a 2.2% rise the previous month.
Analysts had expected industrial production to fall 0.7% in November.
Separate reports showed that Japan’s retail sales declined more-than-expected in November, falling 2.3%, while household spending slumped far more-than-expected by 3.2% in December.
Meanwhile Japanese core inflation rates came in better than expected, hitting minus 0.3% compared with forecasts for minus 0.4%.
Also Wednesday, Japan’s government said it will not change its stance on taking appropriate action in the foreign exchange market as needed.
The comments came after the U.S. criticized the country, in its Treasury currency report, for intervening to stem the yen’s appreciation against the greenback.
Elsewhere, the yen was higher against the euro with EUR/JPY declining 0.17%, to trade at 101.61.
Later in the day, Italy was scheduled to sell EUR9 billion euros of 179-day bills and EUR2.5 billion euros of zero-coupon 2013 securities.
USD/JPY hit 77.76 during early European trade, the pair’s lowest since December 21; the pair subsequently consolidated at 77.76, shedding 0.15%.
The pair was likely to find support at 77.63, the low of December 13 and resistance at 78.05, the high of December 20.
With most investors already away on year-end leave, trading volumes were low, resulting in subdued trade.
Preliminary data showed earlier that industrial production in Japan fell more-than-expected in November, tumbling 2.6% after a 2.2% rise the previous month.
Analysts had expected industrial production to fall 0.7% in November.
Separate reports showed that Japan’s retail sales declined more-than-expected in November, falling 2.3%, while household spending slumped far more-than-expected by 3.2% in December.
Meanwhile Japanese core inflation rates came in better than expected, hitting minus 0.3% compared with forecasts for minus 0.4%.
Also Wednesday, Japan’s government said it will not change its stance on taking appropriate action in the foreign exchange market as needed.
The comments came after the U.S. criticized the country, in its Treasury currency report, for intervening to stem the yen’s appreciation against the greenback.
Elsewhere, the yen was higher against the euro with EUR/JPY declining 0.17%, to trade at 101.61.
Later in the day, Italy was scheduled to sell EUR9 billion euros of 179-day bills and EUR2.5 billion euros of zero-coupon 2013 securities.