Published: 2024-01-10T05:25:24.000Z
USD/JPY flows: Disapointing Wage Growth
FX Analyst
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Labour Cash Earnings +0.2% y/y vs expected +1.5%, prior +1.5%
The Japan November Labor Cash Earning has disappointed at 0.2% y/y vs expectation of 1.5% and dropped from 1.5% in October. This is a key metric as BoJ is focusing on wage growth to push for sustainable inflation reaching target. With November's report being a disappointment, BoJ will patiently wait for the spring wage negotiation to assess the pace of wage inflation before nay policy changes.
USD/JPY rose by 0.24% to 144.80 as JGB yields slip further.