November US consumer price index data
- Prior was +0.4%
- CPI y/y +2.1% vs 2.1% exp
- Prior 2.2%
- Ex food and energy 1.8% y/y vs 1.7% exp
- Prior ex food and energy 1.7%
- Ex food and energy +0.3% m/m vs +0.2% exp
- Real average weekly earnings +0.7% y/y vs +0.8% prior
- Real avg hourly earnings y/y +0.4% vs +0.2% prior
The numbers on the surface area showing a pick up in the ex food and energy (core inflation data). The MoM and YoY ex food and energy are 0.1% greater than the expectations. Better news there but still core below the 2% level. . The bad is the real weekly earning YoY are still very low at 0.7% although hourly earnings moved higher to 0.4% from 0.2%, they are still low.
Nevertheless, the USDJPY moved higher by about 35 pips (up about 25 pips now). It traded to new session highs after the data. The 200 day MA comes in at 111.699. The price moved above and below it on Wednesday and Thursday. I would expect that on a test, traders should lean against it from the sell side with a stop on a a break (as a trade). The pair is now trading up to 111.55.