The Japanese Yen (JPY) is seen oscillating in a range against its American counterpart during the Asian session on Tuesday amid mixed fundamental cues. The growing acceptance is that the Bank of Japan (BoJ) will stick to its policy normalization path and hike interest rates by the year-end.
Moreover, the cautious market mood acts as a tailwind for the JPY. Apart from this, the lack of follow-through US Dollar (USD) buying caps the USD/JPY pair near the 148.00 mark. Meanwhile, the BoJ's hawkish outlook marks a significant divergence in comparison to expectations that the US Federal Reserve (Fed) will resume its rate-cutting cycle in September. This keeps a lid on the overnight USD rally and further benefits the lower-yielding JPY.
However, hopes for an early deal to end the prolonged Russia-Ukraine war seem to undermine traditional safe-haven assets and could act as a headwind for the JPY. Traders now look to the release of flash PMIs on Thursday for a fresh insight into the global economic health, which, in turn, will influence the risk sentiment.
The focus, however, will remain glued to FOMC Minutes on Wednesday and Fed Chair Jerome Powell's speech at the Jackson Hole Symposium for more cues about the future rate-cut path. The outlook will drive the USD demand and provide some meaningful impetus to the USD/JPY pair. In the meantime, the fundamental backdrop warrants some caution for aggressive traders and before placing directional bets.
Source: FXstreet
The Japanese yen held steady near 157 per dollar on Friday (November 21st), after previously weakening steadily. The currency began to "put on the brakes" after Finance Minister Satsuki Katayama signa...
The Japanese yen briefly touched its lowest level since early February before recovering slightly in Tuesday morning's Asian trading session. This slight recovery occurred without strong buying moment...
The USD/JPY pair declines on Tuesday to around 153.50 at the time of writing, down 0.40% on the day, as the Japanese Yen (JPY) attracts fresh safe-haven flows amid renewed global risk aversion. Fears ...
The Japanese yen remains under pressure against the strengthening US dollar, reaching its lowest level since last February. Markets remain uncertain about when the Bank of Japan (BoJ) will raise inter...
The Japanese yen strengthened, breaking through 152 per US dollar on Wednesday (October 29th), continuing its two-day rally. Market participants are positioning themselves ahead of this week's Bank of...
The global silver price today (November 21) remained around $50-51 per troy ounce, slightly weaker than the previous day but still well above its early-year level. Fundamentally, silver's movement is again being pulled in two directions: on the one...
The Japanese yen held steady near 157 per dollar on Friday (November 21st), after previously weakening steadily. The currency began to "put on the brakes" after Finance Minister Satsuki Katayama signaled that the government could intervene if the...
The Hong Kong stock market opened lower in the morning session, with the benchmark Hang Seng Index falling 375 points, or 1.45%, to 25,460. Selling pressure was felt across the entire market. The Hang Seng China Enterprises Index fell 1.43% to...
European markets opened lower on Tuesday (November 18th) as global markets weakened amid renewed concerns over AI-related stocks.
The pan-European...
Initial jobless claims in the United States reached 232,000 for the week ending October 18, according to data from the US Department of Labor...
A divided Federal Reserve cut interest rates last month even as many policymakers cautioned that lowering borrowing costs further could risk...
US stocks finished higher on a volatile Wednesday session, reversing some of the sharp selling from the prior four sessions as markets digested a...