US economic data released on Friday indicated softer non-farm payroll gains, with jobs increasing by 53,300, lower than expected. This subdued labor report reduced market expectations for further Federal Reserve rate hikes, lifting US equity futures during European trading hours. According to FX Street, Dow Jones futures rose 0.24% to above 53,300, S&P 500 futures increased 0.46% near 7,560, and Nasdaq 100 futures gained 1.0% approaching 29,850.
The weaker US dollar reacted notably, with the Japanese Yen strengthening amid speculation of currency intervention. FX Street quoted MUFG’s Michael Wan highlighting that the softer payrolls and suspected FX intervention pushed USD/JPY sharply lower to around 161.10 yen during Asian hours on Friday. This dynamic also supported gains in silver prices, which climbed to a weekly high near $62.15, and NZD/USD, which reached a fresh weekly peak around 0.5725 in European trading.
For Japanese investors, the interplay between Fed policy shifts and yen intervention remains critical, influencing cross-asset strategies across FX and equities as global monetary conditions evolve.