GBP/JPY struggles to stay the upside momentum near a 36-month high, recently easing to 153.25, amid the initial hour of Tuesday’s Tokyo open. The pair jumped to the fresh high since April 2018 before a couple of minutes but consolidation within the market sentiment and downbeat news from the united kingdom seem to possess weighed down the quote.
While upbeat catalyst from the US favored the mood on Monday, fears that the UK’s travel guidance will remain cautious dragged GBP/JPY the previous day. Also on the risk-negative side might be British medicine authority, Medicines and Healthcare products Regulatory Agency’s (MHRA) consideration of a proposal to limit the utilization of the Oxford-AstraZeneca covid vaccine in younger people, per Channel 4 news, likely challenges the bulls.
Also on the risk-negative side might be the comments from the Bank of Japan (BOJ) suggesting economic hardships just in case of the speed cuts also as mixed data from Japan.
Japan’s February Labor Cash Earnings recovered from -0.8% prior and -1.5% market consensus of -0.2%. However, Overall Household Spending declined below -2.1% expected and -6.1% previous readouts to -6.6% during the stated month.
It’s worth mentioning that the S&P 500 Futures dwindle around record top whereas the US 10-year Treasury yield eases 2.3 basis points to 1.69% by the press time. Further, Japan’s Nikkei 225 prints mild losses of 0.10% as we write.
Given the shortage of major data/events from neither Japan nor the united kingdom , GBP/JPY traders will need to keep their eyes on the danger catalysts for fresh impulse.