USD/JPY pair is trying to recover ahead of NFP

The USD/JPY pair is trying to recover after falling to a level around 148.40. A cautious increase in overall market risk appetite is restraining US Dollar gains in response to positive data.

After Tuesday’s enigmatic chart spike, the Yen has been trading slowly. The USD/JPY began trading on Thursday, rising as high as 149.12 before falling back to the day’s low of around 148.40.

Initial Jobless Claims for the US came in at 207 thousand, which was lower than the market expectation of 210K and better than predicted.

With 47.457 thousand declared job cutbacks as opposed to the prior 75.151K, Challenger Job cutbacks also improved. The Japanese Labour Cash Earnings statistics will be released late on Thursday, and the early Tokyo Friday markets anticipate a little increase in monthly wages from 0.2% to 0.3%.

Another US Non-Farm Payroll (NFP) Friday is looming and markets anticipate a little decline in US labour starts from 187K to 170K. As broader markets continue to worry that an excessively robust US economy will force the Fed closer to additional rate hikes in the future, a meet-or-beat scenario may easily lead to a revival of the US dollar.