Japanese Retail Trade rises faster than expected in May, growing 3% versus the forecast 2%

Japan's Retail Trade for the year ended in May, clocking in at 3% YoY versus the forecast hold at 2.0%. On the downside, the previous period's print was revised down to 2.0% from the initial print of 2.4%.

Large Retailer Sales also increased in May, climbing to 4% YoY versus the previous month's print of 3%.

Seasonally-adjusted Japanese Retail Trade revealed a front-loaded uptick in retail activity, with MoM large retailer sales clocking in at 1.7% in May compared to April's 1.2%.

Market reaction

USD/JPY is slipping back i nearly Thursday trading, sliding to 160.50 after hitting a fresh 38-year peak on Wednesday. The pair clipped into an almost four-decade high at 160.87 this week, hitting bids that have remained unseen since 1986.

USD/JPY five minute chart

About Japanese Large Retailer Sales

The Large Retailer Sales data, released by the Ministry of Economy, Trade and Industry on a monthly basis, measures the total value of goods sold by large retailers in Japan. Changes in Retail Sales are widely followed as an indicator of consumer spending. Percent changes reflect the rate of change in such sales. Generally, a high reading is seen as bullish for the Japanese Yen (JPY), while a low reading is seen as bearish.