The Yen is slowly retreating. Overview for 24.01.2017

The strong morning statistics couldn’t provide enough support for the Yen to strengthen.

The USD/JPY pair is moving to the upside a little on Tuesday afternoon. The current quote for the instrument is 113.36.

The statistics published in the morning showed that the Nikkei Manufacturing PMI in January increased up to 52.8 points after being 52.4 points in December and against expectations of 52.3 points. According to the Nikkei agency, any reading, which is above psychologically-crucial number of 50%, indicates that the manufacturing sector is improving. Usually, strong statistics supports the national currency.

Positive attitude in the manufacturing sector is partially based on the increase in the number of new orders, and this is good. In addition to that, the January report turned out to be the strongest over almost two years. Taking into account that the business confidence index is close to its four years’ highs, one can speak about some steady trend, at least.  

The Yen tried to strengthen with the help of this report, but the demand for the USD during the day made the trend reverse.

RoboForex Analytical Department