![](\"https:\/\/www.financialmirror.com\/wp-content\/uploads\/2023\/12\/oanda-craig-BoJ-Bank-of-Japan.jpg\")
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The Japanese Yen is set to book one of its best weeks in history against the US Dollar, as a string of (un)confirmed interventions have pushed the USDJPY pair from roughly 160.00 to 153.00 since last Friday.<\/p>\n
As the dust settles, the question is, how long will the effect from these interventions linger, and if they can keep USDJPY trading at current levels or lower.<\/p>\n
Meanwhile, the DXY US Dollar Index \u2013 which gauges the value of the US Dollar against a basket of six foreign currencies \u2013 is holding up around 105.00 as markets are stepping away in order not to get steamrolled by the Japanese interventions.<\/p>\n
Still, the recent depreciation of the Greenback could offer a window of opportunity for USD buyers to step in and gear up for a profitable ride higher. This upturn could already happen on Friday with the US Jobs Report data for April on the docket.<\/p>\n
More broadly, the significant rate differential between the US and Japan isn\u2019t likely to allow this big appreciation of the JPY against the USD to last long.<\/p>\n
US nonfarm payrolls (NFP changes are expected to increase by 243,000, lower than the 303,000 rise seen in March.<\/p>\n
Monthly Average Hourly Earnings are expected to grow at a stable 0.3%, and the Unemployment Rate is set to remain at 3.8%.<\/p>\n
Meanwhile, several Japanese companies have reported to Bloomberg that they are facing substantial issues due to the recent weakness in the Japanese Yen. A boom in tourism is also putting pressure on local inflation.<\/p>\n
Japanese markets were closed on Friday for the Greenery Day bank holiday.\u00a0 Equities are trading in the green with both European indexes and US Futures up near 0.5% on average.<\/p>\n
The CME Fedwatch Tool suggests an 85.5% probability that June will still see no change to the Federal Reserve\u2019s fed fund rate. Odds of a rate cut in July are also broadly out of the cards, while for September the tool shows a 60% chance that rates will be lower than current levels.<\/p>\n
The benchmark 10-year US Treasury Note were trading around 4.57%, the lowest level this week, while Japanese 10-year JGB are trading at the high for this week near 0.889%.<\/p>\n
(Source: OANDA)<\/p>\n","protected":false},"excerpt":{"rendered":"
The Japanese Yen is having one of its best weeks in history against the US Dollar, with the USDJPY pair dropping from roughly 160.00 to 153.00 due to interventions. The US Dollar Index is holding around 105.00, and there is speculation on how long the effects of the interventions will last. Japanese companies are facing issues due to the weak Yen, and tourism is boosting local inflation. The US Jobs Report data for April is expected to influence the market on Friday. The rate differential between the US and Japan is not likely to sustain the JPY appreciation.<\/p>\n","protected":false},"author":4,"featured_media":10605,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"Default","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[1521,8625,1902,48,8591,4950,3348,33,6348,2369,260,2620,1027,2621,641,52,658,2133,2514,1823,67,8819,2796,2042,3709,28,5258,148,7776,54,34,1252,1253,55,6121,3775,375,4620,6928,1959,238,973,414,31,380,1124,5126,5256,1256,2982,6191,18,3833],"class_list":["post-10604","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-other","tag-1521","tag-april","tag-bank","tag-bank-of-japan","tag-book","tag-buyers","tag-change","tag-companies","tag-currencies","tag-data","tag-dollar","tag-dollar-index","tag-dust","tag-dxy","tag-earnings","tag-federal-reserve","tag-history","tag-holiday","tag-hourly","tag-increase","tag-inflation","tag-interventions","tag-issues","tag-japan","tag-japanese-yen","tag-jobs","tag-jobs-report","tag-local","tag-march","tag-marketpulse","tag-markets","tag-nfp-jobs-report","tag-nonfarm-payrolls","tag-oanda","tag-opportunity","tag-pressure","tag-rate-cut","tag-report","tag-six","tag-speculation","tag-tourism","tag-treasury","tag-un","tag-unemployment","tag-us","tag-us-dollar","tag-us-dollar-index","tag-us-jobs","tag-us-nonfarm-payrolls","tag-usdjpy","tag-usdjpy-pair","tag-world","tag-yen"],"acf":{"keyphrase":"","keywords":"","sourceimg":"","country-category":""},"yoast_head":"\n