The USD/JPY pair moved lower after reaching 151.02 yen in the early Tokyo market. During European trading, Japan’s Finance Official Mimura said that a weak yen has a negative effect on wage growth, causing the yen to strengthen and USD/JPY to drop to 149.95.
After this drop, investors quickly bought back yen, pushing USD/JPY up to 151.30. However, in the New York market, it fell again after U.S. manufacturing data was weaker than expected, causing U.S. long-term interest rates to decline. The exchange rate moved around 150 yen but then dropped further after President Trump said, “The yen and Chinese yuan are weak currencies” and suggested tariffs on countries with weak currencies.
This caused the yen to strengthen, and USD/JPY fell sharply to 149.11 around 5 AM. The market is expected to remain volatile, with continued pressure for the dollar to weaken and the yen to strengthen.
USD/JPY Price Range Prediction: 150.30 – 148.00
Note: This information does not guarantee profits. Make your own decisions when trading.