Japanese Yen remains depressed near one-week low vs USD as traders await Fed, BoJ
The USD/JPY pair attracts some buyers for the third straight day and touches a one-week high, around the 155.45-155.50 region, during the Asian session on Wednesday. Spot prices, however, lack follow-through as traders seem hesitant ahead of the key central bank event.
The USD/JPY currency pair is experiencing a near one-week low against the US dollar, with traders awaiting key events from the US Federal Reserve and Bank of Japan. During Wednesday's Asian session, the pair tested a high near 155.45-155.50 but lacked follow-through, indicating hesitation among traders. The Fed's policy meeting concluded on Wednesday, with a 25 basis point interest rate hike widely expected.
Investors are closely monitoring the Fed's updated economic projections, including the dot plot and Chair Kevin Warsh's remarks. The USD's strength is driven by the anticipated Fed rate hike, oil-driven inflation fears, and geopolitical risks. However, the Bank of Japan's normalization path suggests a more hawkish stance, potentially limiting the bearish outlook for the Japanese Yen.
Written by urgent.news from FXStreet's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 4 other outlets
- Asian stocks steady as traders await Fed decision businesstimes.com.sg
- Asian stocks stutter as traders prepare for Fed decision straitstimes.com
- Asian stocks edge higher as Fed decision looms, oil rally pauses investing.com
- Global Market Today: Asian stocks steady as traders await Fed decision economictimes.indiatimes.com
