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Flash: JPY softer on data - BTMU

FXStreet (Barcelona) - Lee Hardman, FX Analyst at the Bank of Tokyo Mitsubishi UFJ, commented the Japanese yen is weaker after disappointing Japanese data releases.

Key Quotes

"The yen has also been undermined overnight by the release of the latest weaker than expected current account report from Japan. The report revealed that Japan recorded a seasonally adjusted current account deficit of JPY196.7 billion in December."

"It was the fourth consecutive monthly current account deficit with net trade expected to subtract around 0.3 percentage points from real GDP growth in Q4. The convincing victory by Yoichi Masuzoe, who was backed by the LDP, in Tokyo’s gubernatorial election on Sunday may also have contributed to the more yen negative trading environment in the near-term by marginally boosting investor confidence in Abenomics policies. According to the Tokyo Metropolitan Government website, Yoichi Masuzoe won around 2.1 million votes which was well ahead of his nearest competitor Kenji Utsunomiya who won 983k votes."

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