Risk appetite settled through Friday as traders looked to square the books at the end of a busy week.
However, fundamental yen traders would find no peace as economic indicators would take up the reins to the yen’s steady decline. Typically, Japanese data has little influence on price action; yet today’s offerings were too influential to ignore. The national inflation number retreated from its decade high after the expiration of a gasoline tax, curbing hawkish feelings. The outlook for growth was more concerning. Consumer spending fell the most in 19 months while industrial production marked consecutive contractions for the first time in four years. This leaves little hope for any BoJ hike.