EUR/JPY Fundamental Analysis – August 4, 2015 – Forecast

By:

Published: Aug 3, 2015, 03:53 UTC

Analysis and Recommendations: The EUR/JPY added 14 points to 136.16 as the yen relaxed in the morning session after Chinese data weakened farther. The

EUR/JPY Fundamental Analysis – August 4, 2015 – Forecast

Analysis and Recommendations:

The EUR/JPY added 14 points to 136.16 as the yen relaxed in the morning session after Chinese data weakened farther. The overall Asian markets are in the red as the week starts. Asian stocks stumbled early Monday, as weaker energy prices and fresh manufacturing data out of China sapped risk appetite.

The final reading for Caixin China purchasing managers’ index (PMI) for July came in at 47.8, lower than the preliminary reading of 48.2 and marking a two-year low.

The figure also comes in below the official PMI figure released by the statistics bureau over the weekend. Growth at big manufacturing firms unexpectedly stalled last month with the official PMI standing 50.0 in July, compared with the previous month’s 50.2 and below a Reuters’ forecast of 50.2, as demand at home and abroad weakened.

Japan’s Nikkei 225 index drifted lower as softer oil prices and looming PMI data from China dampen risk appetite.

The euro eased a bit in the morning session but remains stable against its crosses. In the case of this pair the weakness was from the Japanese yen which also fell against the greenback.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more recent analysis and information in our weekly reports and we provide daily updates and outlooks.

Today’s economic releases:

Cur.	Event	Actual	Forecast	Previous
	Canada – Civic Holiday
CNY	Caixin Manufacturing PMI (Jul)	47.8	48.3	48.2

Upcoming Economic Events that you should be monitoring:

Tuesday, August 4, 2015

Cur.	Event	Actual	Forecast	Previous
AUD	Retail Sales (MoM) (Jun)		0.5%	0.3%
AUD	Interest Rate Decision (Aug)		2.00%	2.00%
GBP	Construction PMI (Jul)		58.4	58.1