Published: 2024-01-24T06:05:31.000Z
USD/JPY flows: Stronger Trade Balance and Rate Expectation Supports JPY
FX Analyst
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Japan December Exports +9.8% y/y vs expected +9.1%; Imports -6.8% y/y vs expected -5.3%,; Trade Balance 62.1bn yen vs expected -122.1bn
The Japan December Trade data came in stronger than expected. December Exports increased by 9.8% y/y vs expected +9.1% and imports declined by 6.8% y/y vs expected -5.3% while Trade Balance is positive 62.1bn yen vs expectation of -122.1bn. The report shows very strong export to the U.S. and a pick up in Chinese demand, which are good news for the Japanese economy. Else, JGBs yields jumped on rate hike expectation.
With U.S. Treasury Yields falling, USD/JPY is trading 0.24% lower at 147.92.