The Japanese Yen (JPY) ticks higher in reaction to comments from Japan's Economy Minister Ryosei Akazawa during the Asian session on Friday, albeit it lacks bullish conviction amid the Bank of Japan (BoJ) rate hike uncertainty. Data released earlier today showed that real household spending in Japan fell for the fourth month in November and pointed to an economic fragility. This gives the BoJ another reason to be cautious about raising interest rate hikes further, which might continue to undermine the JPY.
Furthermore, the US-Japan bond yield differentials have widened significantly over the past month in the wake of the Federal Reserve's (Fed) hawkish shift. This might further contribute to capping the lower-yielding JPY and should act as a tailwind for the USD/JPY pair amid a bullish US Dollar (USD). Meanwhile, traders might opt to move to the sidelines and wait for the release of the crucial US Nonfarm Payrolls (NFP) report before placing aggressive directional bets around the currency pair.
Japan's Economy Minister Ryosei Akazawa said this Friday that Japan's economy is at a 'critical stage' in eradicating the public's deflationary mindset and shifting to a phase where growth is spearheaded by higher wages and investment.
Government data released earlier today showed that inflation-adjusted household spending in Japan a key indicator of private consumption fell for the fourth month, by 0.4% in November from a year earlier amid stubbornly high prices.
This comes on top of a drop in real wages for the fourth consecutive month in November and points to broadening inflationary pressure, which keeps the door open for another interest rate hike by the Bank of Japan in January or March.
Some investors, however, are betting that the BoJ may wait until April to seek confirmation that strong wage momentum will carry over into the spring negotiations between companies and labor unions before pulling the trigger.
The US Dollar stands tall near a two-year peak and assists the USD/JPY pair to hold steady above the 158.00 mark as traders keenly await the release of the US jobs data – popularly known as the Nonfarm Payrolls report later today.(Cay) newsmaker23
Source: Fxstreet
The USD/JPY pair weakened to around 155.10 at the start of the Asian session on Tuesday. The yen strengthened slowly as markets became increasingly confident that the Bank of Japan (BoJ) would raise i...
The Japanese yen (JPY) remains under pressure and is trending slightly lower against the US dollar in the Asian session on Friday. Investors are concerned about Japan's increasingly strained financial...
The USD/JPY pair rose again to around 155.85 at the start of Wednesday's Asian session, after declining for three consecutive days. The slight strengthening of the US dollar occurred as markets awaite...
The Japanese yen exchange rate fell to around 155.7 per US dollar on Tuesday (December 2nd) after strengthening for three sessions. This weakening occurred because many traders chose to take profits f...
The yen headed for its biggest one-day rally in almost two months on Monday after Bank of Japan Governor Kazuo Ueda gave the clearest hint so far that a December rate hike may be on the table. Meanwh...
Japan's Nikkei stock index opened 1.1% lower at 49,624.20 in early trading, following Wall Street's sharp decline overnight. Market participants remained cautious due to the busy data schedule and economic agenda throughout the week. According to...
The USD/JPY pair weakened to around 155.10 at the start of the Asian session on Tuesday. The yen strengthened slowly as markets became increasingly confident that the Bank of Japan (BoJ) would raise interest rates at its policy meeting on Friday,...
Oil prices remain near their lowest levels since 2021, as traders assess the impact of a potential ceasefire in Ukraine. If the war subsides, the path could open to easing restrictions on Russian oil imports—even though the global market is already...
Asian markets opened lower in the last full trading week of 2025, fueled by concerns about the prospects for tech company profits and growing AI...
Pasangan mata uang EUR/USD mengawali pekan ini dengan nada sedikit melemah di sesi Asia, diperdagangkan di sekitar 1,1730, turun kurang dari 0,10%...
Stocks rose Monday led by a broad array of names as traders bet data set for release this week will point to tame inflation and strong economic...
New York Federal Reserve President John Williams said on Monday the U.S. central bank's interest rate cut last week leaves it in a good position to...