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16 Apr 2014
JPY weaker post-Chinese data - BTMU
FXStreet (Barcelona) - Lee Hardman, FX Analyst at the Bank of Tokyo Mitsubishi UFJ, notes the JPY receded some ground after today's Chinese releases.
Key Quotes
"The yen has weakened modestly in the Asian trading session in part reflecting relief amongst investors that the reported economic slowdown in China in Q1 was not as sharp as some had feared. Still it was reported that real GDP growth slowed to an annual rate of 7.4%Y/Y in Q1 following an expansion of 7.7%Y/Y in Q4 2013, which was the slowest rate of growth since the Q3 2013."
"The pace of growth is within the government’s comfort zone having set an annual growth target of around 7.5% for 2014, and is unlikely to prompt material economic stimulus to support growth in the near-term. However, economic growth momentum is clearly slowing with real GDP expanding by a quarterly rate of 1.4%Q/Q (5.6% annualized) in Q1 highlighting that the authorities in China will need to remain on alert."
Key Quotes
"The yen has weakened modestly in the Asian trading session in part reflecting relief amongst investors that the reported economic slowdown in China in Q1 was not as sharp as some had feared. Still it was reported that real GDP growth slowed to an annual rate of 7.4%Y/Y in Q1 following an expansion of 7.7%Y/Y in Q4 2013, which was the slowest rate of growth since the Q3 2013."
"The pace of growth is within the government’s comfort zone having set an annual growth target of around 7.5% for 2014, and is unlikely to prompt material economic stimulus to support growth in the near-term. However, economic growth momentum is clearly slowing with real GDP expanding by a quarterly rate of 1.4%Q/Q (5.6% annualized) in Q1 highlighting that the authorities in China will need to remain on alert."