US flash Q1 GDP falls and core PCE prices rise more than forecast- USD/JPY rises and falls

The very important US Q1 GDP estimate and core PCE price index have just been released. The flash estimate for Q1 GDP has shown a fall of 0.3% . That was a bad miss but it did take into account some of the latest trade data, which might have skewed it lower. At the same time, the Core PCE prices over the same period have risen above consensus. That is at 3.5% However, the upshot of these two important data points has not seen the dollar fall.. The USD/JPY was already falling back after the disappointing US ADP payroll report. The impact of these data releases has seen it actually push higher. Well, if you are confused about that then you sure are not alone. This reaction makes little sense, but to some degree a worse case scenario was probably in the mix of the market thinking. That said, it remains to be seen, if the initial reaction to back above 143 in the USD/JPY will be sustained. The USD/JPY is right now at 142.92