Created
: 2025.05.28
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
AUD/JPY falls below 93.00, downside seems limited as Japan considers debt issuance changes
World FX news
Breaking news
AUD/JPY falls below 93.00, downside seems limited as Japan considers debt issuance changes
2025.05.28 18:12
2025.05.28 18:12
- AUD/JPY edges lower as the Japanese Yen recovers its losses due to hawkish tone surrounding the BoJ's rate outlook.
- The JPY may lose ground as Japan may tweak in government debt issuance.
- National Australia Bank expects that the Reserve Bank of Australia may adopt a less dovish stance in future policy meetings.
AUD/JPY halts its three-day winning streak, trading around 92.90 during the European hours on Wednesday. The currency cross depreciates as the Japanese Yen (JPY) gains ground, possibly driven by the expectations that the Bank of Japan (BoJ) will continue raising interest rates amid the broadening inflation in Japan.
However, the AUD/JPY may regain its ground as the Japanese Yen may struggle again as Japan signaled potential cuts in government debt issuance. On Monday, Japan's Ministry of Finance asked for feedback from market participants on bond issuance and the current market situation, according to Bloomberg.
On Tuesday, Reuters reported that Japan's Ministry of Finance will consider reducing its super-long bond issuance to adjust the composition of its bond program for the current fiscal year. On Wednesday, Japan's Finance Minister Shunichi Kato said that the government is concerned about the recent spike in yields and will closely monitor bond market situations.
The AUD/JPY cross also faced challenges as the Australian Dollar (AUD) struggled despite a higher-than-expected Monthly Consumer Price Index (CPI) release on Wednesday. The Australian Bureau of Statistics reported that monthly inflation, in the price of a fixed basket of goods and services acquired by household consumers, remained steady at a 2.4% increase year-over-year in April, higher than the expected 2.3% rise.
National Australia Bank (NAB) anticipates that the Reserve Bank of Australia (RBA) may adopt a less dovish stance and expects the central bank to return the cash rate to a neutral stance over the coming months. However, the NAB has lifted terminal rate expectation to 3.1% from the previous 2.6%.
Interest rates FAQs
Interest rates are charged by financial institutions on loans to borrowers and are paid as interest to savers and depositors. They are influenced by base lending rates, which are set by central banks in response to changes in the economy. Central banks normally have a mandate to ensure price stability, which in most cases means targeting a core inflation rate of around 2%. If inflation falls below target the central bank may cut base lending rates, with a view to stimulating lending and boosting the economy. If inflation rises substantially above 2% it normally results in the central bank raising base lending rates in an attempt to lower inflation.
Higher interest rates generally help strengthen a country's currency as they make it a more attractive place for global investors to park their money.
Higher interest rates overall weigh on the price of Gold because they increase the opportunity cost of holding Gold instead of investing in an interest-bearing asset or placing cash in the bank. If interest rates are high that usually pushes up the price of the US Dollar (USD), and since Gold is priced in Dollars, this has the effect of lowering the price of Gold.
The Fed funds rate is the overnight rate at which US banks lend to each other. It is the oft-quoted headline rate set by the Federal Reserve at its FOMC meetings. It is set as a range, for example 4.75%-5.00%, though the upper limit (in that case 5.00%) is the quoted figure. Market expectations for future Fed funds rate are tracked by the CME FedWatch tool, which shapes how many financial markets behave in anticipation of future Federal Reserve monetary policy decisions.
Last updated
: 2025.05.28
Related articles
USD limps into the weekend - ING
7 minutes agoJPY: Some relief from inflation - Commerzbank
17 minutes agoUSD/JPY: Any advance is unlikely to break clearly above 145.55 - UOB Group
28 minutes agoUSD: Still feeling the heat - Commerzbank
32 minutes agoNZD/USD: Likely to edge above 0.6075 - UOB Group
39 minutes agoAUD/USD: Likely to test 0.6575 - UOB Group
45 minutes ago
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
USD limps into the weekend - ING
The US Dollar (USD) is limping into the end of the week and the end of the month. Intraday trends across the major currencies are mixed but the Dollar Index (DXY) itself is still tracking a little lower overall on the day for a (so far) fifth consecutive daily drop.
New
2025.06.27 20:30USD/CNH: Likely to trade in a range of 7.1570/7.1770 - UOB Group
US Dollar (USD) is likely to trade in a range of 7.1570/7.1770 against Chinese Yuan (CNH). In the longer run, there has been a tentative buildup in momentum; USD is likely to edge lower toward 7.1450, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.06.27 20:26JPY: Some relief from inflation - Commerzbank
Inflation in the Greater Tokyo Area, a reliable early indicator of price trends throughout Japan, rose less sharply than expected in June. Prices rose by 3.1% year-on-year, compared with a rise of 3.4% during the previous month, Commerzbank's FX analyst Volkmar Baur notes.
New
2025.06.27 20:20WTI Oil consolidates around $65.00 as the Middle East ceasefire holds
Oil prices are trading within a narrow range around $65.00 on Friday, consolidating losses, on track to their largest weekly sell-off in years, following a nearly $12 depreciation after Trump announced a truce in the Israel-Iran war.A fragile ceasefire is holding so far, and investors have shifted t
New
2025.06.27 20:18USD/JPY: Any advance is unlikely to break clearly above 145.55 - UOB Group
US Dollar (USD) could rebound further against Japanese Yen (JPY), but any advance is unlikely to break clearly above 145.55. In the longer run, USD appears to have moved into a range trading phase between 143.50 and 146.50, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.06.27 20:09USD: Still feeling the heat - Commerzbank
Yesterday, the EUR/USD exchange rate could soon reach 1.18 again. The Euro (EUR) promptly took off and climbed to 1.1744 against the US Dollar (USD).
New
2025.06.27 20:05NZD/USD: Likely to edge above 0.6075 - UOB Group
There is room for New Zealand Dollar (NZD) to edge above 0.6075 against US Dollar (USD); the major resistance at 0.6090 still appears to be out of reach.
New
2025.06.27 19:58Copper spreads spike again - ING
Copper spreads spiked again on the LME on Thursday. Cash contracts trading at a premium of above $319/t to three-month futures, but still down from a historic high of $379/t seen on Monday.
New
2025.06.27 19:55AUD/USD: Likely to test 0.6575 - UOB Group
There is a chance for Australian Dollar (AUD) to test 0.6575; the major resistance at 0.6595 is likely out of reach. In the longer run, there is potential for AUD to test 0.6595, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
New
2025.06.27 19:52Gas prices are selling off - ING
European natural gas prices continue to sell off, with Title Transfer Facility (TTF) falling 3.89% yesterday, ING's commodity experts Ewa Manthey and Warren Patterson note.
New
2025.06.27 19:50Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
