The USD/JPY pair continues its upward trajectory, with no signals of intervention in sight.
Once again, the Japanese yen, in tandem with the US dollar, is on a downward slope. The current USD/JPY exchange rate is at 149.93.
Towards the end of last week, the yen experienced a brief correction, influenced by shifts in market sentiment. At that time, investors speculated that the US Federal Reserve would leave interest rates unchanged at their upcoming meeting and maintain them at high levels for an extended period.
However, the situation has reverted to its previous state. Investors are now searching for signs that the Ministry of Finance and the central bank are preparing to intervene in support of the yen, but such indications are scarce. This suggests that the USD/JPY positions might surge even higher.
The events of October 3rd remain shrouded in mystery, when the US dollar soared to 150.16 against the yen and then abruptly plummeted. Market participants suspected that authorities had intervened to bolster the yen in the stock market. Nonetheless, no official statements were issued.
This episode seems to be a reaction to technical signals or perhaps just a case of the market’s jitters. In any event, the JPY is currently at high risk.
The post JPY Approaches Its Lows: Overview for October 23, 2023 appeared first at R Blog – RoboForex.