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The Japanese Yen attracts fresh buyers as a hotter CPI print reaffirms BoJ rate hike bets.Hopes for an early US-Japan trade deal and a weaker USD further weigh on USD/JPY.The bullish JPY fundamental backdrop supports prospects for deeper losses for the pair.The Japanese Yen (JPY) strengthens further against a broadly weaker US Dollar (USD) and drags the USD/JPY pair back below mid-143.00s during the Asian session on Friday. Hotter consumer inflation figures released from Japan earlier today reaffirmed market bets that the Bank of Japan (BoJ) will continue raising interest rates, which, in turn, is seen underpinning the JPY. Apart…

European Central Bank (ECB) President Christine Lagarde said on Friday that with US President Donald Trump’s extension of his trade war to nearly every country, we must question the links of dependency that we have with each other and, in certain matters, with the United States.Key quotes”Warned that international trade will be changed forever by the tensions over tariffs.”“While it is fairly obvious that international trade will never be the same again, it’s also pretty clear that there will be further negotiations.””Said that with Trump’s extension of his trade war to nearly every country, we must question the links of…

Bullion retreats from two-week high as US House passes debt-heavy budget.A strong US Dollar and firmer US S&P PMIs dent safe-haven appeal.Geopolitical risks with Iran still support longer-term bullish bias for Gold.Gold price dropped some 0.48% on Thursday and failed to hold onto the $3,300 figure after reaching a two-week high of $3,345 earlier. A strong US Dollar pressures the golden metal as US Treasury yields retreated from daily highs as the US House of Representatives approved Trump’s budget, which now will be sent for approval to the Senate. XAU/USD trades at $3,289, down 0.83%.The market mood has improved slightly…

Reserve Bank of India’s (RBI) pro-growth stance is likely to attract renewed equity inflows, says BofA BofA Research expects the Indian rupee to strengthen to 84 per US dollar by December 2025 from a prior forecast of 87, joining peers in turning more bullish on the currency amid improving capital inflows and trade engagement.BofA expects the rupee to track broader weakness in the US dollar and be supported by stable domestic fundamentals, it said on Thursday, adding that the Reserve Bank of India’s (RBI) pro-growth stance is likely to attract renewed equity inflows.The RBI cut rates in February and April…

The Indian rupee declined to a more-than-one-month low on Thursday, pressured by likely outflows from local equities and the breach of a key technical support level that triggered stop-losses on speculative long bets. The South Asian currency closed at 86.0025 against the U.S. dollar, down 0.4% on the day. It fell past a key support level of 85.80 to hit a trough of 86.1025 during the session, its lowest since April 11. Dollar bids from foreign banks and one large state-run lender, likely on behalf of their clients, also weighed on the rupee, traders said.India’s benchmark equity indexes, the BSE…

UK Services PMI recovered to 50.2 in May, beating expectations.Manufacturing PMI in the UK dropped to 45.1 in May.GBP/USD holds minor gains above 1.3400 after UK business PMIs.The seasonally adjusted S&P Global/CIPS UK Manufacturing Purchasing Managers’ Index (PMI) dipped to 45.1 in May from 45.4 in April. The data missed the market forecast of 46 in the reported period.Meanwhile, the Preliminary UK Services Business Activity Index jumped to 50.2 in May versus April’s 49 while bettering the expected 50 figure.FX implicationsMixed UK PMIs fail to inspire the Pound Sterling, as GBP/USD adds 0.04% on the day at 1.3425, as of…

The USD/JPY forecast suggests increasing demand for the safe-haven yen. Trump’s tax bill might add to the US’s already huge debt burden.  Traders will keep an eye on US business activity data. The USD/JPY forecast is bearish, suggesting increasing demand for the safe-haven yen amid fiscal concerns in the US. At the same time, the dollar weakened against the yen after a poor Treasury bonds auction, which pointed to weak demand for US assets. –Are you interested in learning more about buying NFT tokens? Check our detailed guide- The yen extended gains on Thursday after reaching a two-week high against the…

The rupee traded in a narrow range in morning trade on Thursday, as the support from weak dollar index was negated by elevated crude oil prices and persistent dollar demand from importers and foreign banks.Forex traders said broad-based dollar weakness, with DXY falling to a 99 level, is expected to act as a tailwind for the rupee in the short-term. However, the narrowing yield differential between Indian and US, is making Indian assets less attractive.At the interbank foreign exchange market, the rupee opened at 85.59 then touched an intraday high of 85.58 and a low of 85.67 against the US…

Atsushi Mimura, Japan’s Vice Finance Minister for International Affairs and top foreign exchange official, said early Thursday “ the US did not discuss FX levels at finance ministers’ meeting.”Additional commentsReaffirmed that forex should be determined by the market.Do not believe that there is any gap in understanding with the US.Finance Minister Kato agreed with Bessent that FX rates should be set by markets.Market reactionUSD/JPY keeps its range trade intact near 143.50 levels to now trade at 143.31, down 0.31% on the day. Japanese Yen PRICE Today The table below shows the percentage change of Japanese Yen (JPY) against listed major currencies…

US Secretary Scott Bessent and Japan’s Finance Minister Shunichi Kato discussed important issues pertaining to the US-Japan economic relationship, including global security and the ongoing bilateral trade discussions between the US and Japan.Key quotesTold the G7 meeting that US tariffs are creating uncertaintiesDiscussed overcapacity with G7.Told G7 unsustainable macroeconomic imbalance of some countries is behind the trade imbalance.Told G7 each country must take steps to boost domestic demand, cut fiscal deficit.The talk with Bessent lasted 30 minutes.Met with U.S. Treasury Secretary Bessent today.Told Bessent that US tariffs are regrettable.Agreed with Bessent that FX rates should be set by markets.Reaffirmed that excessive…