The USD/JPY pair moves higher to near 149.00 in North American trading hours on Thursday. The pair gains as the US Dollar (USD) rallies sharply in the aftermath of the Federal Reserve's (Fed) monetary policy outcome. The US Dollar Index (DXY), which tracks the Greenback's value against six major currencies, jumps to near 104.00 after attracting significant bids near the five-month low of 103.20.
On Wednesday, the Fed kept interest rates unchanged in the range of 4.25%-4.50%, as expected, for the second time in a row. The central bank also maintained its forecast of two interest rate cuts this year. Fed Chair Jerome Powell stated that the central bank is not in a hurry to cut interest rates as the uncertainty is "unusually elevated" amid the implementation of new policies by the new administration.
Jerome Powell added that tariff policies by President Donald Trump could slow down the growth rate and accelerate inflationary pressures.
On the economic data front, Initial Jobless Claims for the week ending March 14 come in at 223K, almost in line with estimates and the former release.
Though investors have underpinned the US Dollar against the Japanese Yen (JPY), it is outperforming against other peers amid an uncertain market mood. Market sentiment seems unfavorable for risky currencies as President Trump is poised to introduce reciprocal tariffs on April 2, which would result in a sharp slowdown in global economic growth.
Domestically, the Bank of Japan (BoJ) kept interest rates unchanged at 0.5% on Wednesday and guided that uncertainty surrounding Japan's economy and prices remain high.
Source: Fxstreet
The Japanese yen weakened toward 148 per dollar on Monday (August 4), weakening after the previous session's gains as investors reassessed the direction of US Federal Reserve policy. Although a weak U...
The yen has suffered a difficult month, but BCA Research thinks the Japanese currency is primed for a multi-year rally. At 08:30 ET (12:30 GMT), USD/JPY traded 0.2% lower at Y150.49, having earlier i...
The Japanese Yen (JPY) touches a fresh four-month low against its American counterpart during the Asian session on Friday and seems vulnerable to weaken further. The Bank of Japan (BoJ) revised up its...
The Japanese Yen (JPY) weakens for the sixth consecutive day against the US Dollar with the USD/JPY pair surging to its highest level in over four months after the Bank of Japan (BoJ) kept its short-t...
The Japanese Yen (JPY) edges higher against a softer US Dollar (USD) during the Asian session on Thursday and recovers a part of the previous day's slide to its lowest level since early April. Data re...
European shares closed higher on Monday, rebounding from six-week lows as a surge in banking stocks offset a decline in Swiss shares following a hefty 39% U.S. tariff on Swiss goods. The pan-European STOXX 600 index, rose 0.9%, with most major...
The GBP/USD rallies for the second straight day, up by 0.12% following a dismal jobs report in the United States (US). The data prompted investors to price in a rate cut by the Federal Reserve at the upcoming September meeting. The pair trades at...
Wall Street's main indexes bounced back on Monday after a sharp pullback in the previous session, buoyed by growing expectations of deeper Federal Reserve interest rate cuts following an unexpectedly weak jobs report. At 11:39 a.m. ET, the Dow...
US Stocks plunged on Friday, as investors reacted to a weak July jobs report and a fresh round of tariffs announced by President Trump. The S&P...
European stock markets opened positively this week, with the Euro Stoxx 50 up 0.6% and the broader Stoxx 600 up 0.2%. This rebound follows a sharp...
Tensions and fears are running high in Switzerland, as the deadline to strike a trade agreement with the U.S. looms just days away.
Without a deal,...
White House economic advisers on Sunday defended President Donald Trump's firing of the head of the Bureau of Labor Statistics, dismissing criticism...