USD/JPY Falls as Japan Revives GPIF Portfolio Review to Support Domestic Assets
The Japanese yen regained its footing gains against the US dollar on Tuesday after Japan signaled a fresh review of the Government Pension Investment Fund's portfolio to encourage more domestic investment, lifting demand for the yen despite officials indicating no immediate overhaul of the fund's asset allocation. On the US front, US June inflation data showed the headline Consumer Price Index slowing to 3.5% in June from 4.2% in May and monthly CPI falling 0.4% from 0.5%, weighing on the greenback. In Tuesday's G10 trading, the JPY dropped against all other currencies, except the US dollar. The next update for the yen will be the Reuters Tankan Index for July and the Bank of Japan Purchase, due on Wednesday. For the USD, the major events will be the multiple speeches from the Federal Reserve members, including the vice chair for supervision, Michelle Bowman, due later in the day. The USD/JPY pair was trading at 161.950, with a 0.30% decline during Tuesday's American trading hours at the time of writing.
The Japanese yen regained its footing gains against the US dollar on Tuesday after Japan signaled a fresh review of the Government Pension Investment Fund's portfolio to encourage more domestic investment, lifting demand for the yen despite officials indicating no immediate overhaul of the fund's asset allocation.
On the US front, US June inflation data showed the headline Consumer Price Index slowing to 3.5% in June from 4.2% in May and monthly CPI falling 0.4% from 0.5%, weighing on the greenback.
In Tuesday's G10 trading, the JPY dropped against all other currencies, except the US dollar.
The next update for the yen will be the Reuters Tankan Index for July and the Bank of Japan Purchase, due on Wednesday.
For the USD, the major events will be the multiple speeches from the Federal Reserve members, including the vice chair for supervision, Michelle Bowman, due later in the day.
The USD/JPY pair was trading at 161.950, with a 0.30% decline during Tuesday's American trading hours at the time of writing.