In This Article:
Earlier in the Day:
It’s was a relatively busy start to the day on the economic calendar this morning. The Japanese Yen was in action in the early part of the day.
For the Japanese Yen
In July, consumer prices rose by 0.3%, following a 0.1% increase in June, with the annual rate of inflation picking up from 0.1% to 0.3%. Core consumer prices were unchanged, year-on-year, following a 0.2% decline in June. Economists had forecast a 0.1% rise. The figures were released by the Ministry of Internal Affairs and Communication,
The Japanese Yen moved from ¥105.732 to ¥105.716 upon release of the figures.
August’s prelim private sector PMI numbers were also in focus this morning.
The Manufacturing PMI rose from 45.2 to 46.6, while the Services PMI slipped from 45.4 to 45.0.
According to the August Markit Survey,
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Demand continued to be adversely affected by subdued trade flows and social distancing measures.
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New orders fell sharply in August, accompanied by a sizeable drop in export sales.
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Labor market conditions continued to deteriorate as a result of the extended contraction in the private sector.
At composite level,
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New orders saw a stronger decline attributed to a sharp decline reported from the services sector.
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New export orders saw a weaker decline.
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Employment declined at a stronger pace.
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Output was unchanged on June, with manufacturing sector output seeing a weaker decline to offset a more marked decline in the services sector.
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The outlook shifted from positive to negative. There was a weaker positive outlook among manufacturing firms. The services sector, however, saw outlook shift from positive to negative.
The Japanese Yen moved from ¥105.673 to ¥105.695 upon release of the figures. At the time of writing, the Japanese Yen was up by 0.06% ¥105.74 against the U.S Dollar
Elsewhere
At the time of writing, the Aussie Dollar was up by 0.17% to $0.7204, with the Kiwi Dollar up by 0.03% to $0.6537.
The Day Ahead:
For the EUR
It’s a busy day ahead on the economic calendar. Key stats include August’s prelim private sector PMIs for France, Germany, and the Eurozone.
While manufacturing PMI numbers will need to avoid a fall, the focus will likely remain on the service sector PMIs.
Later in the day, Eurozone consumer confidence figures for August will also provide direction.
At the time of writing, the EUR was up by 0.09% to $1.1871.
For the Pound
It’s a busy day ahead on the economic calendar. July retail sales figures and August’s prelim private sector PMIs will provide the Pound with direction.