USD/JPY persists to weigh on upside due to expectations of faster rate hikes by the Bank of Japan and uncertainties from factors such as Trump tariffs.
【3/13Market Overview
Tokyo time, the USD/JPY pair wavered around the low 148s, and when Governor Ueda of the Bank of Japan said that “there is a good outlook for real wages and consumption moving forward,” expectations for an early BOJ rate hike rose, and the pair fell to as low as148yen in the early stages, then to147.57yen. In European trading, yen selling and dollar buying led the USD/JPY higher, reaching148.23yen.
During New York time,the2month U.S.PPI(Producer Price Index) came in below expectations, and USD/JPY briefly slipped to147.75yen, but later, with rising U.S. 10-year Treasury yields, dollar buying picked up and USD/JPY rose to148.35yen. However, concerns about a global economic slowdown due to Trump’s tariffs and uncertainties over avoiding a shutdown of the U.S. government caused the Dow Jones to plunge, leading to risk-off yen buying, and USD/JPY fell to148.35147.41
【3/14Market Outlook