News

Japanese Yen Falls
The Japanese Yen lost 0.184 points or 0.18% to 103.663 against the US Dollar on Friday, while adding 0.21% for the week amid a record surge of novel coronavirus infections across the country. Bank of Japan Governor Haruhiko Kuroda on Thursday warned of downside risks to the economy hit by another state of emergency over the novel coronavirus, as its outlook for the current business year was slightly cut. In local data, consumer prices declined 1.2% year-on-year in December the sharpest since April of 2010. Preliminary data also showed that the Composite PMI fell to was the weakest level since September 2020, with the Services PMI marking the twelfth straight month of contraction in the sector and the steepest pace in five months, while the manufacturing PMI signaled a renewed deterioration in the sector, amid surging COVID-19 cases.
Published on 2021-01-22

Japanese Yen Gains
The Japanese Yen added 0.135 points or 0.13% to 103.397 against the US Dollar on Thursday. The US Dollar resumed declines to trade near 33-month lows after a smooth inauguration ceremony for US President Joe Biden, who on Wednesday took office together with the country's first female vice president, pledging that Washington will return to multilateralism and revive alliances undermined during the past four years. In local news, the Bank of Japan said Thursday that the Japanese economy is expected to shrink 5.6% in fiscal 2020 through March as Japan struggles to rein in coronavirus infections under a second state of emergency. The BOJ held short-term interest rates at -0.1% while guiding long-term interest rates to around zero percent. It will also continue to buy exchange-traded funds at an annual pace of 12 trillion yen ($116 billion) as part of its massive asset purchase program.
Published on 2021-01-21

Japanese Yen Appreciates
The Japanese Yen added 0.161 points or 0.15% to 103.741 against the US Dollar on Wednesday. Sentiment for the US Dollar continued to ease following US Treasury Secretary nominee Janet Yellen backing a large-scale fiscal relief package to reinvigorate the United States economy which has been ravaged by the COVID-19 pandemic. Meantime, The Bank of Japan began a two-day policy-setting meeting Wednesday to assess damage to the economy from a fresh state of emergency over the novel coronavirus amid expectations that monetary easing will be maintained. The BOJ is set to announce on Thursday its quarterly economic outlook report with its assessment on the current state. So far, the bank has taken the view that the economy "has picked up, although it has remained in a severe situation."
Published on 2021-01-20

Japanese Yen Falls
The Japanese Yen fell 0.391 points or 0.38% to 104.073 against the US Dollar on Tuesday. Bets for the safe-haven Yen fell as Japan logged over 4,900 daily cases nationwide on Monday, with the health ministry putting the number of serious infections at 973, rising one from the previous day. Also Monday, Japan confirmed 3 cases of the new coronavirus variant first detected in Britain, of which two had unknown transmission routes. Meantime, market participants turn focus to Janet Yellen’s hearing before the Senate Finance Committee. According to prepared remarks, Yellen is set to tell the Senate Finance Committee that the government must “act big” with its next Covid relief package. Meanwhile, the Wall Street Journal reported that Yellen is expected to affirm the US’ commitment to market-determined exchange rates, making clear that the US doesn’t seek a weaker dollar for competitive advantage.
Published on 2021-01-19

Japanese Yen Falls Slightly
The Japanese Yen fell 0.027 points or 0.03% to 103.711 as the country logged over 4,900 daily cases nationwide on Monday, with the health ministry putting the number of serious infections at 973, rising one from the previous day. In addition, Japan confirmed three cases of the new coronavirus variant first detected in Britain, of which two had unknown transmission routes. Meantime, market participants turn focus to Janet Yellen’s hearing before the Senate Finance Committee. According to prepared remarks, Yellen is set to tell the Senate Finance Committee that the government must “act big” with its next Covid relief package. Meanwhile, the Wall Street Journal reported that Yellen is expected to affirm the US’ commitment to market-determined exchange rates, making clear that the US doesn’t seek a weaker dollar for competitive advantage
Published on 2021-01-19

Japanese Yen Lifts
The Japanese Yen added 0.092 points or 0.09% to 103.727 against the US Dollar on Monday as over 5,700 new COVID-19 cases were confirmed across Japan on Sunday, with authorities reporting a record number of hospitalized patients with serious symptoms. Prime Minister Yoshihide Suga on Monday pledged to bring the coronavirus pandemic under control in Japan "as soon as possible," saying the government is taking "effective measures" to contain the spread of coronavirus infections under a state of emergency covering 11 prefectures including Tokyo. In local data, the Tankan survey showed overall sentiment for the manufacturing sector was poised to fall again, with business confidence expected to edge down in April, while sentiment in the service industry was forecast to improve slightly. Later this week, the Bank of Japan is expected to keep its policy interest rate at -0.1% and the 10-year Japanese government bond yield target at around zero.
Published on 2021-01-18

Japanese Yen Little Changed
The Japanese Yen traded flat at 103.818 on Monday after President-elect Joe Biden unveiled a US$1.9 trillion stimulus package proposal last Thursday. Meantime, over 5,700 new COVID-19 cases were confirmed across Japan on Sunday, with authorities reporting a record number of hospitalized patients with serious symptoms as a third wave of infections continues to burden the nationwide medical system. In local data, the Tankan survey showed overall sentiment for the manufacturing sector was poised to fall again, with business confidence expected to edge down in April, while sentiment in the service industry was forecast to improve slightly. Later this week, the Bank of Japan is expected to keep its policy interest rate at -0.1% and the 10-year Japanese government bond yield target at around zero when it holds a meeting on January 20-21. Traders will also be monitoring key economic data such as Jibun Bank's flash PMI survey, trade balance and inflation rate.
Published on 2021-01-18

Japanese Yen Trades Higher
The Japanese Yen added 0.148 points or 0.14% to 103.653 against the US Dollar on Friday as investors focused on President-elect Joe Biden’s announcement of a stimulus package designed to jump-start the US economy, including a wave of new spending, more direct payments to households, an expansion of jobless benefits, a rise in the federal minimum wage to $15 per hour and an enlargement of vaccinations and virus-testing programs. In local news, a minister and a government panel chief suggested that Japan's coronavirus state of emergency could be extended, made stricter and cover more prefectures if the outbreak does not show signs of abating, while the Bank of Japan on Thursday maintained its economic assessments on five of the nine regions. The BOJ noted that the economy was in a "severe" situation in many regions, but signs of a pickup have emerged, while Kuroda said earlier in the day that the BOJ will take additional easing steps if necessary.
Published on 2021-01-15

Japanese Yen Slips
The Japanese Yen fell 0.206 points or 0.2% to 104.075 against the US Dollar on Thursday as investors retreated after Japan expanded a state of emergency in the Tokyo area to seven more prefectures amid a steady rise in cases. Consumer spending is forecast to fall by more than 2 trillion yen (US$19.3 billion) as the declaration could lift unemployment and cut sales at eateries and retailers, corresponding to a 0.4% contraction in Japan's annual gross domestic product. Meantime, the Bank of Japan said it is ready to launch more monetary stimulus if a health crisis in the country threatened to derail a fragile economic recovery. On the data front, Japanese machinery orders unexpectedly rose in November, while producer prices in December fell less than estimated.
Published on 2021-01-14

Japanese Yen Gains
The Japanese Yen added 0.113 points or 0.11% to 103.634 against the US Dollar on Wednesday. Sentiment for the US Dollar cooled on expectations that incoming Biden administration would ramp up US distribution of coronavirus vaccines and additional stimulus measures, which will contribute to a global economic recovery and increased demand for commodities. Meantime, Prime Minister Yoshihide Suga said the government was preparing to extend its emergency declaration to Osaka, Kyoto and Hyogo as daily infection rates continue to surge across the country. In other news, the Bank of Japan noted that it may revise up its growth forecasts for the next fiscal year in its quarterly reviews due out next week, supported by robust exports and massive government stimulus.
Published on 2021-01-13

Japanese Yen Trades Near 5-Week Lows
The Japanese Yen added 0.0108 points or 0.1% to 104.131 against the US Dollar on Tuesday, trading near 5-week lows as Prime Minister Yoshihide Suga on Tuesday announced plans to expand a state of emergency declared to cover Osaka, Kyoto and Hyogo prefectures amid a resurgence of infections in western Japan. In other news, President-elect Joe Biden is set to release proposals for a multitrillion-dollar stimulus package on Thursday, while US Democrats geared up to impeach Donald Trump. Meantime, Dallas Federal Reserve President Robert Kaplan noted that he expects broad distribution of coronavirus vaccines to unleash strong economic growth later this year, allowing the US central bank to begin to pull back on some of its extraordinary monetary support. In local data, the Eco Watcher survey on current conditions plunged to 35.5 in December, the lowest in seven months while a quarterly central bank survey showed that households' inflation expectations in Japan weakened in Q4.
Published on 2021-01-12

Japanese Yen Touches 5-Week Lows
The Japanese Yen lost 0.165 points or 0.16% to 104.12 against the US Dollar on Monday, touching 5-week lows as sentiment for the US Dollar increased. US President-elect Joe Biden said Friday he is assembling a multitrillion-dollar relief package that would boost stimulus payments for Americans to US$2,000, extend unemployment insurance and send billions of dollars in aid to city and state governments, moving swiftly to address the nation’s deteriorating economic condition and the rampaging pandemic. In local news, the governors of Osaka, Kyoto and Hyogo asked the central government Saturday to include their western Japan prefectures in the state of emergency that took effect a day earlier for the Tokyo region as daily infections rates continue to surge throughout the country.
Published on 2021-01-11

Japanese Yen Hits 4-week Low
The Japanese yen depreciated to its lowest level against the dollar in a month, testing the 104.20 region as prospects of more fiscal stimulus under a blue-wave victory drove investors into riskier currencies.
Published on 2021-01-11

Japanese Yen Slips To 3-Week Low
The Japanese Yen lost 0.113 points or 0.11% to 3-weel lows of 103.885 against the US Dollar on Friday as Prime Minister Yoshihide Suga declared a state of emergency in the Tokyo metropolitan area, authorizing more robust measures to fight a recent surge in coronavirus infections as Japan reported a record 7563 new cases on Thursday. Meantime, Senior officials from Japan’s finance ministry, central bank and financial regulator met in a show of vigilance over a strong yen, reflecting increased nervousness among authorities after the yen strengthened to as high as 102.59 against the dollar Wednesday, a nine-month high, pushing Japanese exporters closer to loss-making levels when they are already facing lower demand amid the pandemic. In local data, household spending in Japan rose 1.1% in real terms in November from the previous year following a 1.9% gain in the previous month while the country's leading economic index jumped to a three-year high.
Published on 2021-01-08

Japanese Yen Falls From 10-Month Highs
The Japanese Yen 0.291 points or 0.28% to 103.3 against the US Dollar on Thursday, retreating from 10-month highs on reports that Joe Biden was on track to be confirmed by Congress as the next US president after the Senate overwhelmingly rejected a challenge to Pennsylvania voters following a Democrat sweep in two Senate runoffs in Georgia. On the coronavirus front, Japanese Prime Minister Yoshihide Suga is set to declare a state of emergency in the Tokyo area on Thursday evening as Japan's daily coronavirus infections hit a record 6,004 cases Wednesday. The declaration will entail asking residents to stay home and for businesses to operate at reduced hours. On the data front, Japan's nominal cash earnings declined 2.2% yoy in November, the most in six months.
Published on 2021-01-07

Japanese Yen Flat at 10-Month Highs
The Japanese Yen was little changed at 10-month highs of 102.708 against the US Dollar on Wednesday as Japan confirmed over 4,900 new infections on Tuesday, marking the highest daily tally yet, while Tokyo's daily infections hit a record 1,591 on Wednesday as Prime Minister Suga Yoshihide is expected to impose a state of emergency later this week. Meantime, investors awaited results of US Senate runoff elections in Georgia that could sway President-elect Joe Biden’s economic policies. In local data, the au Jibun Bank Japan Services PMI was revised upward to 47.7 in December, while the Composite PMI was revised higher to 48.5, with both indexes posting their eleventh straight month of contraction, while the consumer confidence index declined to 31.8, the weakest in four months.
Published on 2021-01-06

Japanese Yen Hits 43-week High
USDJPY decreased to a 43-week low of 102.71
Published on 2021-01-05

Japanese Yen Trades at 10-Month Highs
The Japanese Yen added 0.178 points or 0.17% to trade at 10-month highs of 102.928 against the US Dollar on Tuesday. Investors showed caution ahead of the Senate runoffs in the US state of Georgia, with the elections set to determine who will control the Senate and thereby how much US President-elect Joe Biden can push through the Democrats’ agenda, including rewriting the tax code, boosting stimulus and infrastructure spending. On the coronavirus front, the Tokyo metropolitan government reported 1,278 new novel coronavirus infections on Tuesday, logging the second highest daily tally on record as Japanese Prime Minister Yoshihide Suga said he will make a decision Thursday on a plan to declare another state of emergency in Tokyo and three neighboring prefectures.
Published on 2021-01-05

Japanese Yen Trades at 10-Month Highs
The Japanese Yen lifted 0.293 points or 0.28% to trade near 10-month highs of 102.963 against the US Dollar on Monday. The safe-haven Yen rallied as Japan’s Prime Minister, Yoshihide Suga, said his government is mulling a state of emergency in Tokyo as infections rise. Global infections recently surged above 85 million as Japan reported 3158 cases, while US daily cases soared to a record of nearly 300,000 after the New Year holiday. Meantime, the UK is poised to give the first shots of AstraZeneca’s vaccine on Monday, in a race against a faster-spreading variant that’s prompted new lockdowns across much of the country. In local news, the au Jibun Bank Japan Manufacturing PMI was revised higher to 50.0 in December, ending 19 months of consecutive contraction.
Published on 2021-01-04

Japanese Yen Appreciates 5% in 2020
The Japanese Yen was little changed, at near 9-month highs of 103.141 against the USD on Thursday and gaining 5.05% for the year as investors continued their retreat from the USD amid rising fiscal and current account deficits as the government increases spending to tackle coronavirus-related business shutdowns.
Published on 2020-12-31