USD/JPY jumps above 144.00 as US Dollar gains ahead of US ADP Employment data
The USD/JPY pair gains sharply to near 144.30 during the European trading session on Wednesday. The asset strengthens as the US Dollar advances ahead of the United States (US) ADP Employment data for June, which will be published at 12:15 GMT.
The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, jumps to near 96.90. The DXY recovered sharply on Tuesday after sliding to near the February 2022 low around 96.40, following surprisingly upbeat JOLTS Job Openings data.
Investors will closely monitor the US ADP Employment data as few Federal Reserve (Fed) officials have expressed concerns over cooling labor market strength. Economists expect private employers to have added 95K fresh workers in June, significantly higher than 37K recorded in May.
However, the broader outlook of the Greenback remains weak as consistent criticism of Fed Chair Jerome Powell’s “wait and see” stance on interest rates by US President Donald Trump has dampened the US Dollar’s credibility.
Meanwhile, the Japanese Yen (JPY) underperforms across the board as Trump expresses concerns about closing deal with Japan before the July 9 tariff deadline. "We’ve dealt with Japan. I’m not sure we’re going to make a deal. I doubt it," Trump said while speaking with reporters at Air Force One on Tuesday.
Source: Fxstreet
