The USD/JPY pair rises to its highest levels since 1990
Updated
The USD/JPY pair rises to its highest levels since 1990
The Japanese yen continued its losses during trading on Wednesday, with the USD/JPY pair falling to its lowest levels since July 1990, that is, in nearly 34 years, with the continued strong upward momentum of the American currency and the failure of the recent shifts in monetary policy at the Bank of Japan to give sufficient support to the yen. Japanese.
The dollar/yen pair rose to the level of 151.975 yen during early trading in the session, which is the highest level recorded by the pair since the beginning of July 1990, after the Governor of the Bank of Japan, Kazuo Ueda, stated that the Bank of Japan will continue to maintain its current accommodative policy as long as necessary. To support economic growth.
But the yen was then able to regain some ground and recovered a bit after Japan's Finance Minister, Shunichi Suzuki, came out with an immediate warning, calling for decisive action by the government, a phrase he last used in late 2022, before the Bank of Japan intervened in the forex market. To buy yen and sell dollars.
Last week, the Bank of Japan raised interest rates for the first time in 17 years, but despite this, the Bank of Japan's tightening is expected to occur very gradually, which has reinforced the yen's losses, especially in light of growing expectations that the Federal Reserve may have to wait. longer before he could cut rates, which gave additional support to the dollar.
The Japanese yen continued its losses during trading on Wednesday, with the USD/JPY pair falling to its lowest levels since July 1990, that is, in nearly 34 years, with the continued strong upward momentum of the American currency and the failure of the recent shifts in monetary policy at the Bank of Japan to give sufficient support to the yen. Japanese.
The dollar/yen pair rose to the level of 151.975 yen during early trading in the session, which is the highest level recorded by the pair since the beginning of July 1990, after the Governor of the Bank of Japan, Kazuo Ueda, stated that the Bank of Japan will continue to maintain its current accommodative policy as long as necessary. To support economic growth.
But the yen was then able to regain some ground and recovered a bit after Japan's Finance Minister, Shunichi Suzuki, came out with an immediate warning, calling for decisive action by the government, a phrase he last used in late 2022, before the Bank of Japan intervened in the forex market. To buy yen and sell dollars.
Last week, the Bank of Japan raised interest rates for the first time in 17 years, but despite this, the Bank of Japan's tightening is expected to occur very gradually, which has reinforced the yen's losses, especially in light of growing expectations that the Federal Reserve may have to wait. longer before he could cut rates, which gave additional support to the dollar.
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Real wage growth is likely to gradually turn positive.-It is important to support the economy and prices with easy monetary terms at the present time.
-Future monetary policy decisions are determined by the economy and price developments at that time.
-The probability of achieving the target price is high, as the current short-term price level of 0-0.1% is very low.
-The Bank of Japan's basic scenario is that average real wage growth becomes positive in the near term, and that small business progress raises wages more than last year.
-If economic developments and prices deteriorate sharply, we will not rule out taking any decisions.
-Foreign exchange movements have a significant impact on the economy and prices.
-The Bank of Japan concluded during its previous monetary policy meeting that the price target is on the horizon.
On behalf of this JPY (JAPAN) data we see market may be increase suddenly in favour of JPY (YEN) due to this reason we close this analyse and waiting for more data and information and then we decide what we will do go buy or sell for next analyse keep in touch and pin our channel also unmute notification thanks for support.
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