USD/JPY slides further to near 152.00 as the Japanese yen strengthens after Japana Kato warned of possible intervention.
The US Dollar tries to resume its upside trend on Trump policy optimism.
On Thursday, the Fed cut interest rates by 25 bps to 4.50%-4.75%.
The USD/JPY pair falls further to near 152.00 in European trading hours on Friday. The asset weakens despite some recovery in the US Dollar (USD), suggesting a sheer strength in the Japanese Yen (JPY). The Yen gains after Finance Minister Katsunobu Kato alerted that the administration would take "appropriate action" to address excessive foreign exchange fluctuations.
“Will closely monitor the impact of Trump's policies on Japan's economy,” Kato added. In the comments from Kato, Trump’s policies point to a hike in import tariffs by 10%, which he promised in his election campaign.
Earlier, Democratic Party for the People (DPFP) leader Yuichiro Tamaki also warned that Trump’s protectionist policies could put further downward pressure on the Yen.
Meanwhile, the US Dollar Index (DXY), which gauges Greenback’s value against six major currencies, strives to gain ground above 104.00. The US Dollar corrected sharply on Thursday as traders unwinded so-called ‘Trump trades’ and the Federal Reserve’s (Fed) monetary policy guidance was dovish.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
Hot
No comment on record. Start new comment.