USD/JPY fluctuates wildly on Trump’s announced mutual tariffs

【4/2Market Overview

During Tokyo time, the USD/JPY rose to around 150.00 as news circulated that U.S. Treasury Secretary Betsy (Bessent) indicated that other countries could take measures to lower tariffs against the U.S., suggesting tariffs might not be uniform. In European time, USD/JPY declined due to risk-off yen demand from falls in European stocks and Nikkei futures. There were reports that China would restrict corporate investment in the U.S., and at one point it fell to around150.00150.00 yen.149.09yen was reached.NYtime,3monthADPemployment data15.5ten thousand12.0ten thousand was exceeded by the forecast, and the reaction to dollar buying was limited. However, as U.S. stocks began to hold firmly, dollar-buying led to USD/JPY rising,150.11to around 150.11 yen.

In the detailed announcement of Trump’s tariffs, the basic tariff rate was set at10%, lower than the previously stated around20% expectation, causing USD/JPY to rise to around150.48yen. However, once it became clear that major countries’ tariff rates were high—Japan at24%, China at34%,EUat20%—the market turned to selling, and USD/JPY fell to around149.29yen.

【4/3Market Outlook