The USD/JPY currency pair traded higher, approaching 158.40, driven by broad U.S. Dollar strength and the absence of FX intervention from Japan’s Ministry of Finance. According to FX Street citing Brown Brothers Harriman and Elias Haddad, the pair surged to its 200-day moving average and is expected to trade within a 155.00–160.00 range in the near term.
FX Street also reported that USD/JPY rose about 0.55% as market participants reassessed hawkish bets on the Bank of Japan. Meanwhile, UOB Global Economics & Markets Research noted that the pair reversed intraday losses to close flat at 157.41 after the Ministry of Finance confirmed no FX intervention from August 27 to September 28, following a record coordinated US-Japan operation in July.
This dynamic highlights ongoing market sensitivity to the Bank of Japan’s policy stance and external dollar movements, factors that remain crucial for Japanese investors navigating the volatile FX and equity landscape.