EUR/JPY remains depressed below 130.00 ahead of EU job data

• EUR/JPY records losses for the second straight session on Thursday  in the early European session.
• The euro surrenders gain on mixed economic data, dovish ECB.
• The Japnese yen gains on its safe-haven appeal despite disappointing Retail sales data.

EUR/JPY edges lower on Thursday in the early European trading hours. The pair opened higher but failed to preserve the momentum after Japan posted a jump in Housing starts in August.At the time of writing, EUR/JPY is trading at 129.72, down 0.05%  for the day.

The shared currency came under selling pressure amid signs that the European Central Bank (ECB) will remain dovish for some time while the US Federal Reserve moves ahead towards tapering. ECB President Chrisitne Lagarde has distanced the ECB from the move towards tighter monetary policy and promised not to overreact to transitory supply shocks.

On the other hand, the Japanese yen managed to gain some traction after the Bank of Japan (BOJ) Governor Haruhiko Kuroda said that the central bank will maintain its massive stimulus to support the economic recovery. On the economic data front,Japan Housing grew 7.5% in August on a yearly basis whereas Retail sales in Japan fell 3.2% compared to market expectations of a 1% drop.

As for now, traders wait for the German Unemployment Rate, Eurozone Unemployment Rate, ECB Panetta speech to gauge the market sentiment. 

EUR/JPY additioanal levels