JPY does retreat. Overview for 28.12.2022

The Japanese yen gradually retreats from the positions of the US dollar. The current quote is 133.88.

As expected, without constant interventions of the Bank of Japan, the yen will be gradually returning to its initial positions.

The statistics from yesterday reflected a decline in the unemployment levels in November to 2.5% from 2.6% earlier. Retail sales in November grew by just 2.6% y/y, while in October the indicator amounted to 4.4% y/y. This must be due to growing inflation. Consumers in Japan are very sensitive to price fluctuations and wind up any activity in case of smallest risks.

Industrial production last month dropped to 0.1% m/m, which was better than expected. Earlier it had dropped by 3.2% m/m.

The statistics are truly uneven. However, these are the current circumstances: businesses keep a close eye on the foreign situation and consumers - on the domestic one. All in all, no one plans for long.