Yen Weakens as Safe-Haven Appeal Diminishes

2026-10-28 02:55 By Jam Kaimo Samonte 1 min. read

The Japanese yen weakened toward 158 per dollar on Wednesday, erasing most of last week’s safe-haven gains amid renewed optimism surrounding artificial intelligence.

South Korean chipmaker SK Hynix reported strong third-quarter results and announced increased shareholder returns backed by AI-driven profits, further strengthening the sector’s outlook.

Meanwhile, investors are preparing for the Bank of Japan’s policy meeting this week, where interest rates are widely expected to remain unchanged, although policymakers may signal a potential rate hike in December amid persistent inflationary pressures.

Recent data showed that a key measure of Japan’s services-sector inflation rose 3.7% year over year in September, its highest level since June 2024, as labor, transportation, and fuel costs remained elevated.

Investors are also monitoring monetary policy decisions from other major central banks this week, which could influence the yen’s direction.



News Stream
Yen Weakens as Safe-Haven Appeal Diminishes
The Japanese yen weakened toward 158 per dollar on Wednesday, erasing most of last week’s safe-haven gains amid renewed optimism surrounding artificial intelligence. South Korean chipmaker SK Hynix reported strong third-quarter results and announced increased shareholder returns backed by AI-driven profits, further strengthening the sector’s outlook. Meanwhile, investors are preparing for the Bank of Japan’s policy meeting this week, where interest rates are widely expected to remain unchanged, although policymakers may signal a potential rate hike in December amid persistent inflationary pressures. Recent data showed that a key measure of Japan’s services-sector inflation rose 3.7% year over year in September, its highest level since June 2024, as labor, transportation, and fuel costs remained elevated. Investors are also monitoring monetary policy decisions from other major central banks this week, which could influence the yen’s direction.
2026-10-28
Yen Weakens as Safe-Haven Demand Fades
The Japanese yen depreciated past 157.5 per dollar on Tuesday, extending losses from the previous session and surrendering most of last week’s safe-haven gains as Anthropic’s IPO filing reignited investor interest in the artificial intelligence trade. Meanwhile, investors are preparing for the Bank of Japan’s policy meeting this week, where interest rates are widely expected to remain unchanged, although policymakers may signal a potential rate hike in December amid mounting inflationary pressures. Recent data showed that a key indicator of Japan’s services-sector inflation increased 3.7% year-on-year in September, reaching its highest level since June 2024 as labor, transportation, and fuel costs remained elevated. Investors are also monitoring policy decisions from other major central banks this week, which could influence the yen’s direction, with the US Federal Reserve likewise expected to keep rates steady.
2026-10-27
Yen Holds Steady Ahead of BOJ Policy Meeting
The Japanese yen traded around 156.7 per dollar on Monday, remaining near five-week highs as investors awaited the Bank of Japan’s policy meeting later this week. The central bank is widely expected to leave interest rates unchanged before potentially raising them in December amid persistent inflationary pressures. Data released last week showed that both headline and core inflation in Japan climbed 2.1% year-on-year in September, reaching their highest levels in nine months as a weaker yen and elevated energy prices drove up import costs. Investors are also monitoring policy decisions from other major central banks this week, which could influence the yen’s direction, with the US Federal Reserve likewise expected to keep rates steady. Meanwhile, the Japanese currency strengthened last week as a global selloff in technology and artificial intelligence stocks boosted demand for safe-haven assets.
2026-10-26