The Japanese yen is getting stronger because the Bank of Japan may raise interest rates sooner than expected. This is due to a recent statement by the Bank of Japan’s Deputy Governor and the highest wage increase request in 32 years.
At the same time, concerns about the U.S. economy and comments from U.S. officials focusing on interest rate cuts are making it hard for the U.S. dollar to rise.
This week, important U.S. inflation data (CPI) will be released. If inflation slows as expected, the U.S. dollar may weaken further, and USD/JPY could continue to fall. The price may even drop below 145 yen.
Today’s expected USD/JPY range: 148.40 – 147.20
This week’s expected USD/JPY range: 149.20 – 144.20
Note: The above analysis does not guarantee profit. Please make your own decisions when trading.