Morning Market Update – Japanese Yen in Trouble

New Zealand got some good results with the Electronic Card Retail Sales (YoY) rising up to 5.2% in May from a previous value of 4.5% earlier in the day.

Yen had a bad start for the week with the Japan Domestic Corporate Goods Price Index (MoM) coming in at 0% and going below expectations (0.1%) in May. Japan Domestic Corporate Goods Price Index (YoY) registered at 2.1% and went down below expectations (2.2%) in May. Japan Machinery Orders (YoY) came in at 2.7% and went below expectations (6.3%) in April. Japan Machinery Orders (MoM) dropped down from a previous value of 1.4% to -3.1% in April.

Moving on the day further, we have the Reserve Bank of Australia’s (RBA) Assist GovDebelle’s speech which will decide where the Aussie will be headed in the day. After the UK elections, there is a huge sell-off for the pound in the markets with lower bond yields. Once the political uncertainty starts to dissipate, there is a chance that the sterling’s depreciation could eventually be reversed.

The only major news for the Greenback comes with the Monthly Budget Statement and Fed’s interest rate hike meeting. Greenback may see some rise until the results come in a couple of days.
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