Today, the Japanese yen wrote back most of the significant gains it made on Wednesday night, which traders speculated were helped by forex interventions by the Japanese authorities. The dollar was depreciating roughly 0.2 percent to 154.90 USD/JPY shortly after 1:00 p.m. CET. On Wednesday evening, the Japanese currency reached as high as 153.00 USD/JPY.
The dollar index, which measures the value of the dollar against a basket of six major world currencies, was unchanged at 105.75 points at the same time. The euro was down 0.1 percent against the dollar at 1.0700 EUR/USD.
The Japanese yen strengthened sharply on Wednesday evening as currency markets enjoyed a quiet period after the close of trading on Wall Street. It also occurred a few hours after the end of the two-day meeting of the US Central Bank (Fed).
The dollar began to weaken as Fed Chairman Jerome Powell indicated that he was leaning towards possibly cutting borrowing costs. He reiterated that, contrary to initial assumptions, it will likely take longer for the Fed to gain more confidence to start cutting interest rates.
Japanese Deputy Finance Minister for International Affairs Masato Kanda told Reuters he would not comment on whether Japan had intervened in the market. Kanda oversees monetary policy at the Ministry of Finance.
The dollar is still up more than ten percent against the yen this year. Among other things, the fact that the expected reduction in interest rates in the US is being postponed contributes to the higher dollar rate. The Bank of Japan, which in March raised the key rate for the first time since 2007, then signals that it will proceed slowly with further tightening of monetary policy.
Development of the currency pair EUR/USD (1-hour chart – H1):
Development of the currency pair USD/JPY (1-hour chart – H1):
Development of the USDX dollar index (1-hour chart – H1):
Source: Reuters, ČTK, MT4
related articles
Read more
- The Japanese yen fell against the dollar after the US inflation report
The Japanese yen fell to its lowest level against the US dollar since 1990 after the US inflation report. March US inflation was slightly higher than analysts expected. Markets are watching for any signs of intervention by Japanese authorities to support the yen.
- The Japanese Yen is profiting due to closing positions
During the Asian trading session, the major currency pairs rose again after the fall caused by the head of the Democratic…
- The Japanese yen is weakening against major currencies
The Japanese yen has been weakening against other currencies since the start of today’s trading, mainly thanks to…
- The Japanese just weakened sharply, politics has an influence
During yesterday’s trading session, the Japanese yen continued to decline.
- The Japanese yen rose sharply because of the BOJ
The Japanese yen strengthened sharply against the US dollar and the euro today. The Bank of Japan surprised investors…
- The Japanese is strengthening just before the minutes of the FOMC meeting
Despite yesterday’s strong gains in US stocks, optimism from the agreement on…
- The Japanese is only strengthening before the BoJ meeting
The Japanese is only consolidating today in the forex markets. Investors fear that the Japanese central bank (Bank of Japan – BoJ) will not present a sufficiently large set of stimulus measures on Friday at the end of the meeting of its monetary committee, which they have relied on so far. The statement of the American central bank (Fed), which indicated that an increase in interest rates as early as September is still possible, also contributed to the concerns.
- Japanese Yen Hits New 34-Year Low, US Dollar Rises After Inflation Data
The US dollar climbed to a new 34-year high against the Japanese yen today. It was partly supported by inflation data in the United States, which showed no signs of easing. They were in line with expectations that the US central bank (Fed) is likely to delay cutting interest rates until later this year. Shortly before 18:45 CEST, the dollar was adding 1.3 percent to the Japanese yen at 157.67 USD/JPY. The dollar index, which tracks the dollar’s performance against a basket of six major world currencies, was up 0.5 percent at the same time, rising to 106.11 points.
- The Japanese is only getting stronger, reacting to developments in China
The Japanese yen is generally strengthening today, interest in it is mainly supported by the turbulence on the markets in China and also the tension…
- Japanese yen – verbal intervention
During today’s Asian session, Finance Minister Y. Noda gave his speech.
- The Japanese yen erased losses after GDP fell
The Japanese yen stabilized this afternoon, erasing an initial slide to a seven-year low that…
- The Japanese yen is heading higher
The Japanese currency hit 4-month lows against the US dollar early this morning, suddenly its…
- The Japanese yen is being dragged down by weak exports
Easter Monday is usually marked by calm trading with low liquidity without significant…
- The Japanese yen rose, waiting for the central bank
The Japanese yen strengthened today ahead of the central bank’s decision on monetary policy on Tuesday.
- The Japanese yen is benefiting from risk aversion
Demand for the safe haven of the Japanese Yen is rising and as a result the USD/JPY currency pair…
- The Japanese yen is benefiting from concerns about Brexit
The Japanese Yen is strengthening against its major peers during today’s trading thanks to unclear…
- The Japanese one only strengthens significantly
Japanese is only strengthening today against most of its counterparts. Against the US dollar, the Japanese currency…
- The Japanese yen is strengthening significantly, traders are expecting an intervention
The Japanese yen is strengthening significantly today, according to Reuters, traders are speculating about the intervention of the Japanese authorities to support the domestic currency. Shortly before 8:00 a.m. CEST, the dollar was losing roughly 1.1 percent against the yen, hovering near $156.60/JPY. It previously fell as low as 160.00 USD/JPY, according to data on the Bloomberg website.
- The Japanese yen has fallen sharply against the dollar and the euro for the entire year alone
The Japanese yen remains close to a more than two-year high against the dollar in forex markets at the end of the year.
- Japanese yen halted growth, market fears intervention
Just today on the forex markets, the Japanese stopped several days of growth and began to weaken. This is how he reacts to the expression…
Tags: Japanese yen erased yesterdays gains
