The Japanese yen saw gains amid a rise in Tokyo's consumer price index | 29 Tháng mười một 2024

29 Tháng mười một 2024, USD/JPY

The Japanese yen saw gains amid a rise in Tokyo's consumer price index

USDJPY:

The Japanese yen (JPY) is strengthening across the board following the release of robust consumer inflation data for November from Tokyo, Japan's capital city. This supports the conditions for another interest rate hike by the Bank of Japan (BoJ) in December. Furthermore, geopolitical risks associated with the Russia-Ukraine conflict, concerns regarding US President-elect Donald Trump's tariff policies and a slight deterioration in global risk sentiment are driving safe haven flows towards the yen.

Additionally, the recent decline in US Treasury bond yields following the appointment of Scott Bessent as US Treasury Secretary has contributed to a favourable environment for the yen. In contrast, the US dollar is trading near a two-week low as investors anticipate a rate cut by the Federal Reserve in December. This has contributed to the USD/JPY falling below the 150.00 mark, its lowest level since 21 October.

Trade recommendation: We follow the level of 150.00, when fixing above it we consider Buy positions, when rebounding we consider Sell positions.

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David Johnson
Analyst of «FreshForex» company
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