USD/JPY spikes to 7-week high on strong GDP

By FXstreet.com | July 30, 2014 AAA

FXStreet (Córdoba) - The USD/JPY rallied to fresh 7-week highs after preliminary data showed the US economy grew more than expected in 2Q.



The US GDP rose 4.0% in Q2 versus 3.0% expected, recording the strongest pace since 2003. Data also showed inflation (measured by PCE) inched above the Fed's 2% target for the first time since early 2012.



The USD/JPY rose sharply as data supports the case of rate hikes by the Fed early next year, boosting the greenback across the board. The USD/JPY gained nearly 30 pips in a matter of minutes and reached a peak of 102.49.



At time of writing, the pair is trading at 102.45, up 0.34% on the day, with next resistance arising at 102.64 (Jun 9 high), while immediate support is now seen at 102.00 (psychological level).



comments powered by Disqus
Related Forex Analysis
  1. GBP/USD upside remains corrective – Commerzbank
    Forex News

    GBP/USD upside remains corrective – Commerzbank

  2. USD/CHF shows recovery attempts, as it bottomed at 0.9340
    Forex News

    USD/CHF shows recovery attempts, as it bottomed at 0.9340

  3. USD/JPY Daily Outlook - September 19
    Investing

    USD/JPY Daily Outlook - September 19

  4. SEB:  More EUR/USD buying seen above 1.2943 - eFXnews
    Forex News

    SEB: More EUR/USD buying seen above 1.2943 - eFXnews

  5. USD/CAD at Risk for Larger Downside Correction on Sticky Canada CPI
    Forex News

    USD/CAD at Risk for Larger Downside Correction on Sticky Canada CPI

Trading Center