USD/JPY Slides Following Dismal US Durable Goods Data

The USD/JPY pair has slid after US Durable Goods orders declined more than expected in January. Japan’s National CPI inflation fell less than expected, with the headline annualized CPI slipping to 2.2% from 2.6% for the year ended January.

However, markets were expecting a print of 1.8%. US MoM Durable Goods Orders declined to -6.1% in January, missing the -4.5% forecast. The US GDP growth for 2023’s fourth quarter is expected to hold steady at 3.3% on Wednesday.

On Thursday, US PCE inflation is expected to see a slight uptick, with the MOM Core PCE forecast to rise to 0.4% from 0.2% in January. The pair is pinned into bull country, trading into technical resistance near last November’s peak bids near 152.00. The pair has closed in bullish territory for six of the last seven consecutive trading weeks.

The pair will focus on US GDP growth and Personal Consumption Expenditure Price Index (PCE) inflation data due in the back half of the trading week.