GBP/JPY LACKING DIRECTION, UK CPI DATA ON THE DOCKET FOR TODAY
- GBP/JPY indecisive in Tokyo trading.
- UK CPI data due at 09:30 GMT today.
GBP/JPY is stepping lightly in Asia markets, fidgeting around 150.42 following a flat Monday.
The pair has had a rough go of things lately, closing lower or flat for six of the last seven trading days. With the threat of interest rate increases looming on the horizon, traders have been flighty and prone to fits of risk aversion, dumping equities and risk assets in order to pile into safe havens. With the UK showing steady upticks in economic growth and the Bank of England (BoE) preparing to begin tightening their monetary policy, the era of easy money for global markets is set to end, leaving risk appetite in a precarious position.
The UK will be dropping their CPI data today at 09:30 GMT; a slight contraction in price growth is anticipated by market forecasts, with analysts calling for a 2.9% reading compared to the previous 3.0%.