The post Japanese Yen adds to dovish BoJ-inspired losses; hits multi-week low against USD appeared on BitcoinEthereumNews.com.

The Japanese Yen drifts lower for the fourth successive day against its American counterpart. The BoJ’s dovish outlook and a positive risk tone continue to undermine the safe-haven JPY. The USD preserves its gains to a multi-week high and also lends support to the USD/JPY pair. The Japanese Yen (JPY) continues to be undermined by the Bank of Japan’s (BoJ) dovish pause the previous day and drops to over a three-week low against its American counterpart during the Asian session on Friday. In fact, the BoJ slashed its forecasts for economic growth and inflation for the current year amid heightened uncertainty over US trade tariffs. Investors were quick to react and pared their bets on further interest-rate hikes. Apart from this, the optimism over the potential de-escalation of the trade war between the US and China – the world’s two largest economies – undermines the safe-haven JPY. Meanwhile, hopes for tariff deals between the US and its trading partners remain supportive of a positive risk tone. This, along with an unexpected uptick in Japan’s unemployment rate, weighs on the JPY. Moreover, the recent rise in the US Treasury bond yields assists the US Dollar (USD) to stand firm near a multi-week top and turns out to be another factor pushing the USD/JPY pair higher for the fourth straight day. However, prospects for more aggressive policy easing by the Federal Reserve (Fed) might cap the USD and lend some support to the lower-yielding JPY ahead of the US Nonfarm Payrolls (NFP) report. Japanese Yen continues to be weighed down by BoJ’s dovish pause on Thursday and a positive risk tone The Bank of Japan, as was widely anticipated, kept short-term interest rates steady at 0.5% and struck a cautious tone by slashing its growth and inflation forecasts. The central bank expects…

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Filed under: News - @ May 2, 2025 2:26 am