JPY

USD/JPY has lost nearly 1% of its value over the last two trading sessions, allowing the Japanese yen to regain ground against the U.S. dollar.

Yen-weakness is showing prominently against both the Euro and British Pound after the BoJ rate hike, and USD/JPY has held a major spot of support at 155.00.

The USD/JPY has lost more than 1.5% of its value over the last six trading sessions, allowing the Japanese yen to regain ground against the prolonged bullish trend favoring the US dollar.

Yen-strength showed up this morning as USD/JPY pushed down to a fresh 2025 low. And while DXY has recovered most of the CPI sell-off, USD/JPY hasn’t, at least not yet.

Divergent monetary policies between the ECB and BOJ alongside trade wars and demand for safety could make things tricky for EUR/JPY bulls in 2025.

Japanese Yen strength has taken a step back in December, and USD/JPY is testing a big spot of support as EUR/JPY tests a key spot of resistance.

JPY strength ran into the December open but since USD/JPY and EUR/JPY set fresh lows last Tuesday, prices have been pulling back.

Both USD/JPY and EUR/JPY have sold off over the past week and with the BoJ policy review expected in a couple of weeks, Yen-strength scenarios seem to be gaining steam.

USD/JPY has shown a strong trend after the false breakdown at 140.00 last month. And price action has shaped the narrative, with many proclaiming the return of the carry trade even as the Fed is expected to cut heavily next year.

Just last week USD/JPY was re-testing a key low at 141.69. A week later after a strong NFP report and many are proclaiming the return of the carry trade, even with the Fed expected to continue cutting rates through the end of next year.

It’s been a fast start to Q4 for the US Dollar. The turn in EUR/USD was a big driver yesterday and today, USD/JPY has taken over with buyers continuing a strong bounce from the Monday low.

USD/JPY put in a massive sell-off last Friday and that looked similar to carry unwind themes of a couple months ago. But price found support at a key spot to start this week and another bounce theme is now underway.

It’s been a busy and messy week across global macro markets. The push points behind the tumult are parsed through in this piece.

AUD/JPY and EUR/JPY are sandwiched between range highs and uptrend support, meaning traders should be on alert for potential bearish and bullish breakout this week with big event risk in the United States and Europe approaching fast.

A historic day for Japanese markets with the Bank of Japan (BOJ) hiking interest rates for the first time since 2007, doing away with negative interest rates in the process. It’s now over to the Fed to drive the price action over the remainder of the week.

Japan's core CPI didn't fall below the BOJ's 2% target, although it did match it. Which has seen AUD/JPY and USD/JPY retrace further from their highs in light of yen strength.

Is the carry trade coming back? USD/JPY, EUR/JPY and GBP/JPY have all started 2024 with bullish moves despite the expectation for rate cuts starting in 2024.