USD/JPY sets for positive weekly close above 143.00 as US Dollar rebounds

• USD/JPY eyes a positive weekly close as the US Dollar (USD) bounces back.
• The US Dollar recovers as Trump has expressed confidence that he is close to making trade deals with number of trading partners.
• China denies having any trade negotiations with the US.

The USD/JPY pair is expected to conclude the week on a positive note above 143.00. The pair surges to near 143.50 on Friday as the US Dollar (USD) has resumed its recovery move on hopes that United States (US) President Donald Trump is close to make deals with number of his trading partners.

The US Dollar Index (DXY), which tracks the Greenback's value against its six peers, bounces back to near 99.75 after a corrective move on Thursday.

During North American trading hours, United States (US) President Donald Trump said to reporters before leaving for Rome to for Pope Francis' funeral that "trade deals are going well", Reuters report. He added that the administration is close to "make deal with Japan".

Meanwhile, investors have become uncertain over US-China trade relations due to contradictory statements from US President Trump and Beijing. While China has been denying any economic and trade negotiations with the US, Trump has claimed that Chinese President Xi Jinping had called him while interviewing by Time Magazine.

"He's called," Trump said and added "I don't think that's a sign of weakness on his behalf."

In late European trading hours, a spokesperson from the Chinese embassy said, "China and the US are not having any consultation or negotiation on tariffs," Reuters report.

In the Japan region, hotter-than-expected Tokyo Consumer Price Index (CPI) data for April has kept hopes of more interest rate hikes from the Bank of Japan (BoJ) alive. Tokyo CPI excluding Fresh Food, which is closely tracked by BoJ officials rose at a robust pace of 3.4% compared to estimates of 3.2% and the prior release of 2.4%.