{
  "id": 3315001,
  "title": "Japanese Yen remains vulnerable despite softer Greenback",
  "url": "https://urgent.news/2026/08/25/japanese-yen-remains-vulnerable-despite-softer-greenback",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-25T17:19:16.000Z",
  "source": {
    "name": "FXStreet",
    "slug": "fxstreet",
    "url": "https://www.fxstreet.com/news/japanese-yen-remains-vulnerable-despite-softer-greenback-202608251719"
  },
  "original_language": "en",
  "account": "On Tuesday, the Japanese Yen persisted in a sideways trend below the 160.00 level, failing to benefit from a weaker US Dollar. Despite this, the Yen underperformed its peers. The currency faces challenges from Japan's expansionary fiscal policy, high government debt, and a significant interest rate gap with other major economies. Anticipated further tightening by the Bank of Japan offers little support, even as markets assume a rate hike next month. The upcoming release of Tokyo Consumer Price Index data may provide insights into the central bank's policy outlook.\n\nMeanwhile, the US Dollar continued its downward trajectory following the US Treasury's surprise decision to increase buybacks of longer-dated government securities. This move reignited concerns about the US fiscal outlook and rising government debt, further fueling the narrative of USD debasement. The US Dollar Index, which tracks the Greenback's value against a basket of six major currencies, hovered near a three-month low of 98.56.\n\nThis week, two key risk events for the Greenback are on the horizon: the release of US Personal Consumption Expenditures (PCE) Price Index on Wednesday and Fed Chairman Kevin Warsh's speech at the Jackson Hole Symposium on Friday. Currently, there is a 60% chance that the Federal Reserve will keep interest rates unchanged in September, according to the CME FedWatch Tool. Susan Collins, President of the Boston Fed, noted that monetary policy is \"mildly restrictive\" and that interest rates could be raised soon unless there is evidence of sustained disinflation. She also indicated that the labor market is broadly balanced but faces risks.\n\nGeopolitical developments remain relevant, as Pakistan reported progress in reviving US-Iran negotiations, although no talks are currently underway. However, Washington's sanctions announcement on Monday suggests a shift towards economic pressure instead of renewed military escalation.",
  "summary": "USD/JPY extends its sideways movement below the 160.00 mark on Tuesday, holding modest gains despite a softer US Dollar (USD). The weaker Greenback has failed to lift the Japanese Yen (JPY), which is underperforming its major peers. At the time of writing, the pair trades around 159.30.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}