Yen Heads for Second Weekly Fall

2026-02-27 02:17 By Jam Kaimo Samonte 1 min. read

The Japanese yen strengthened to around 155.9 per dollar on Friday but remained on track for a second consecutive weekly decline amid uncertainty over Bank of Japan policy.

Earlier this week, the Japanese government nominated two reflationist academics to the BOJ’s policy board, while PM Sanae Takaichi reportedly expressed concerns about additional rate hikes during a meeting with Governor Kazuo Ueda last week.

Meanwhile, hawkish board member Hajime Takata called for further rate increases and guidance indicating that the price stability target is nearly achieved.

Governor Ueda also reportedly said the central bank would carefully assess incoming economic data at its March and April meetings before making rate decisions, leaving the door open for a near-term hike.

On the data front, Tokyo’s inflation slowed to the lowest pace in over a year, as government utility subsidies eased household energy costs, supporting expectations that the BOJ may hold off on immediate rate increases.



News Stream
Yen Heads for Second Weekly Fall
The Japanese yen strengthened to around 155.9 per dollar on Friday but remained on track for a second consecutive weekly decline amid uncertainty over Bank of Japan policy. Earlier this week, the Japanese government nominated two reflationist academics to the BOJ’s policy board, while PM Sanae Takaichi reportedly expressed concerns about additional rate hikes during a meeting with Governor Kazuo Ueda last week. Meanwhile, hawkish board member Hajime Takata called for further rate increases and guidance indicating that the price stability target is nearly achieved. Governor Ueda also reportedly said the central bank would carefully assess incoming economic data at its March and April meetings before making rate decisions, leaving the door open for a near-term hike. On the data front, Tokyo’s inflation slowed to the lowest pace in over a year, as government utility subsidies eased household energy costs, supporting expectations that the BOJ may hold off on immediate rate increases.
2026-02-27
Yen Gains on Hawkish BOJ Signals
The Japanese yen strengthened past 156 per dollar on Thursday, snapping a two-day slide as hawkish signals from the Bank of Japan supported domestic yields. Board member Hajime Takata, regarded as the most hawkish member, called for further rate hikes and for guidance reflecting that the price stability target is nearly met. Governor Kazuo Ueda also reportedly said the central bank will carefully review economic data at its March and April meetings before deciding on rate adjustments, leaving the door open for a near-term hike. These developments followed the Japanese government’s nomination of two reflationist academics to the central bank's policy board, reinforcing expectations that the BOJ will proceed cautiously with further tightening. Prime Minister Sanae Takaichi also reportedly voiced concerns over additional rate hikes during a meeting with Ueda last week.
2026-02-26
Yen Weakens on Takaichi Report
The Japanese yen traded near 156 per dollar on Wednesday, following a sharp decline in the previous session after reports that Prime Minister Sanae Takaichi expressed concern over further rate hikes in a meeting last week with Bank of Japan Governor Kazuo Ueda. Takaichi also nominated two reflationist academics to the central bank’s policy board, reinforcing expectations that the BOJ will take a cautious approach to further rate increases. Known for her pro-stimulus stance, Takaichi supports both expansionary fiscal policies and looser monetary settings, creating uncertainty around the pace of BOJ rate hikes even as speculation mounts that the central bank could resume policy normalization later this year. Separately, earlier reports indicated that US authorities had proactively conducted rate checks last month to support the yen and were ready to coordinate intervention at Japan’s request.
2026-02-25