Dollar/yen declines for the third day on the back of a sluggish July U.S. ISM manufacturing index and other factors.

【8/1Market Overview

During Tokyo time, the USD/JPY moved in response to the previous day’s Bank of Japan meeting andFOMC and, on expectations of a narrowing interest-rate spread between the U.S. and Japan, sold the dollar and bought the yen, pushing it down to148.50yen. Later, driven by the rise in the U.S. 10-year yield after-hours and the Nikkei average’s limited decline, the USD/JPY recovered to the150yen level. In European trading, the dollar/yen saw a rebound and rose to150.88yen.NYtime,7月米ISM manufacturing PMI was46.8 (consensus48.8) and6月米 construction spending fell month-on-month by0.3％ (consensus0.2％). As a result, with the decline in the 10-year U.S. Treasury yield, the USD/JPY dropped to149.28yen.