The post Japanese Yen seems poised to appreciate further amid hawkish BoJ expectations appeared on BitcoinEthereumNews.com.

The Japanese Yen remains on the front foot against a softer USD for the third straight day. Bets that the BoJ will hike rates again and a weaker risk tone underpin the safe-haven JPY. The emergence of fresh USD selling further exerts downward pressure on the USD/JPY pair. The Japanese Yen (JPY) trades with a positive bias against its American counterpart for the third straight day on Thursday and for now, seems to have stalled the previous day’s late pullback from the weekly high. Japan’s wholesale inflation data released on Wednesday indicated that companies continued to pass on costs to consumers and added to fears of more entrenched price increases in Japan. This is expected to keep the Bank of Japan (BoJ) on track to raise interest rates further, which, in turn, is seen underpinning the JPY. Moreover, a slight deterioration in the global risk sentiment – as depicted by a softer tone around the equity markets – turns out to be another factor that benefits the safe-haven JPY. This, along with a modest US Dollar (USD) downtick, drags the USD/JPY pair back closer to the 146.00 mark during the Asian session. Meanwhile, the optimism led by the 90-day US-China tariff truce might cap the JPY. Moreover, reduced bets for more aggressive policy easing by the Federal Reserve (Fed) could support the USD and the currency pair. Japanese Yen bulls retain control amid BoJ rate hike bets and cautious market mood Japan’s Producer Price Index (PPI) released on Wednesday highlighted persistent price pressure and backs the case for further monetary policy normalization by the Bank of Japan. Moreover, BoJ Deputy Governor Shinichi Uchida reiterated that the central bank will keep raising rates if the economy and prices improve as projected. Meanwhile, investors turned cautious ahead of Thursday’s release of the…

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Filed under: News - @ May 15, 2025 2:16 am