Japanese Yen adds to intraday losses against USD and lifts USD/JPY beyond 145.00
The post Japanese Yen adds to intraday losses against USD and lifts USD/JPY beyond 145.00 appeared on BitcoinEthereumNews.com.
The Japanese Yen drifts lower in reaction to weaker domestic wage growth data. Geopolitical risks and divergent BoJ-Fed expectations should limit JPY losses. The USD bearish sentiment might further contribute to capping the USD/JPY pair. The Japanese Yen (JPY) continues with its relative underperformance against a broadly stronger US Dollar (USD), pushing the USD/JPY pair back above the 145.00 psychological mark during the Asian session. Investors remain worried about the potential economic fallout from steep US tariffs, especially after President Donald Trump threatened last week to impose more levies on Japan over its alleged unwillingness to buy American-grown rice. This, in turn, could squeeze corporate profits and potentially undermine future wage growth, which could complicate the Bank of Japan’s (BoJ) monetary policy normalization schedule and undermine the JPY. Meanwhile, data released earlier today showed that real wages in Japan fell for the fifth straight month in May, at the fastest pace in nearly two years. This turns out to be another factor exerting downward pressure on the JPY. Despite the negative factors, any further JPY depreciation seems elusive in the wake of the growing acceptance that the BoJ will hike interest rates again. In contrast, the Federal Reserve (Fed) is expected to resume its rate-cutting cycle in the near future, which might cap the upside for the USD and lend support to the lower-yielding JPY. Hence, any subsequent move up in the USD/JPY pair might still be seen as a selling opportunity. Japanese Yen bears retain intraday control; BoJ rate hike bets warrant caution The Israeli military carried out intense strikes on Houthi targets in three Yemeni ports and a power plant early this Monday in response to repeated attacks by the Iran-aligned group on Israel. This marks the first Israeli attack on Yemen in almost a month and should…
Filed under: News - @ July 7, 2025 6:23 am