Japan’s Tokyo June Core CPI Data Misses Expectations, YEN Weakens

The yYEN weakened against most G-10 and Asian currencies in early trade after core CPI in Tokyo rose 3.2% year-on-year in June, below market expectations of 3.3%. Chris Weston, head of research at Pepperstone, said the lackluster data spurred USD/JPY to 145. However, after the 145 is pierced, market participants may get a message from the BOJ/MOF and the Japanese foreign exchange department to “check the interest rate“, which should limit the pair’s upside.