Yen Pressured After BOJ Rate Hold

2026-03-19 01:11 By Jam Kaimo Samonte 1 min. read

The Japanese yen weakened toward 160 per dollar on Thursday, hovering at its lowest level since July 2024 when authorities last stepped in to support the currency, as the Bank of Japan kept its policy rate unchanged in a widely expected move.

However, BOJ board member Hajime Takata dissented to the decision, proposing a 25 basis point rate hike to 1% for the second meeting in a row, citing upside risks to inflation.

Oil prices surged again following fresh attacks on energy infrastructure in the Middle East as the Iran war continues.

The yen also faced pressure from a strong dollar after the US Federal Reserve signaled it will hold rates until inflation shows signs of easing again.

Meanwhile, Prime Minister Sanae Takaichi is set to meet US President Donald Trump later today to discuss potential economic and military cooperation, navigating a delicate diplomatic balancing act after Trump initially urged Japan to deploy warships to the Strait of Hormuz before retracting the request.



News Stream
Yen Pressured After BOJ Rate Hold
The Japanese yen weakened toward 160 per dollar on Thursday, hovering at its lowest level since July 2024 when authorities last stepped in to support the currency, as the Bank of Japan kept its policy rate unchanged in a widely expected move. However, BOJ board member Hajime Takata dissented to the decision, proposing a 25 basis point rate hike to 1% for the second meeting in a row, citing upside risks to inflation. Oil prices surged again following fresh attacks on energy infrastructure in the Middle East as the Iran war continues. The yen also faced pressure from a strong dollar after the US Federal Reserve signaled it will hold rates until inflation shows signs of easing again. Meanwhile, Prime Minister Sanae Takaichi is set to meet US President Donald Trump later today to discuss potential economic and military cooperation, navigating a delicate diplomatic balancing act after Trump initially urged Japan to deploy warships to the Strait of Hormuz before retracting the request.
2026-03-19
Yen Gains on Hawkish BOJ Bets
The Japanese yen strengthened to around 158.5 per dollar on Wednesday, rising for a third consecutive session on expectations that the Bank of Japan could signal a hawkish bias at its policy meeting this week, as a weak yen and elevated oil prices from the Iran war heightened inflation risks. Still, the central bank is widely expected to keep interest rates unchanged while assessing the impact of the Middle East conflict on the domestic economy. Meanwhile, Prime Minister Sanae Takaichi is set to meet US President Donald Trump this week, navigating a diplomatic balancing act after Trump initially urged Japan to deploy warships to the Strait of Hormuz before retracting the request. Japan’s heavy reliance on Middle East oil and US security support places Tokyo in a delicate position. Data also showed Japanese exports rose 4.2% in February year-on-year, exceeding expectations of 1.6% but slowing sharply from January’s 16.8% surge.
2026-03-18
Yen Holds Steady Ahead of Takaichi-Trump Meet
The Japanese yen traded around 159 per dollar on Wednesday, holding gains from earlier in the week as investors looked ahead to the meeting between Prime Minister Sanae Takaichi and US President Donald Trump this week. Takaichi faces a diplomatic balancing act after Trump initially urged Japan to deploy warships to the Strait of Hormuz before retracting the request. She is also under pressure to protect Japan’s interests, given its reliance on Middle East oil and historical ties with Iran. The yen has weakened amid the Iran war and soaring oil prices, which have pressured Japan’s oil-importing economy. Verbal interventions from Tokyo helped limit further declines, keeping the currency steady. Meanwhile, Japanese exports rose 4.2% in February year-on-year, surpassing expectations of 1.6% but slowing sharply from January’s 16.8% surge.
2026-03-18