Select Language

USD/JPY: Political risks are still present - OCBC

Breaking news

USD/JPY: Political risks are still present - OCBC

  • X
  • facebook
  • LINE
  • RSS

  • X
  • facebook
  • LINE
  • RSS
update 2025.09.05 18:46
USD/JPY: Political risks are still present - OCBC

update 2025.09.05 18:46

USD/JPY was a touch softer amid pullback in UST yields while Japan wages continue to rise (4.1% y/y vs. 3% expected). The rise in wages remain consistent with Governor Ueda's comments and this keeps hopes for policy normalisation alive. Pair was last at 148.18 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.

US data risk to watch tonight

"Daily momentum and RSI indicators are not showing a clear bias for now. 2-way risks likely, with US data risk to watch tonight. Bias to lean against strength. Resistance at 148.80 (200 DMA), 149.20 levels. Support at 147.20 (50 DMA), 146.70 (38.2% fibo retracement of April low to August high)."

"Moving on, focus is on 8 September as LDP members submit responses to decide if the party presidential election should be brought forward. Earlier this week, 4 LDP members including Secretary-General Hiroshi Moriyama indicated their intention to step down after the review report on the upper house election in July was presented. Report had indicated nine factors on why voters are not supporting the LDP."

"This included the loss of trust brought on by money scandals, measures to deal with higher CPI, etc. It remains unclear if PM Ishiba will resign and if any new leadership will bring about any positive change. The risk of an earlier LDP election may temporarily undermine the JPY but politically-driven JPY depreciation is likely to reverse when the domestic house is in order."


Date

Created

 : 2025.09.05

Update

Last updated

 : 2025.09.05

Related articles


Show more

FXStreet

Financial media

arrow
FXStreet

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

EUR/GBP drifts higher to near 0.8750 on UK fiscal concerns  

The EUR/GBP cross extends the rally to near 0.8745 during the early European trading hours on Friday. The Euro (EUR) strengthens against the Pound Sterling (GBP) as traders expect an end to the current rate-cutting cycle from the European Central Bank (ECB).
New
update2025.09.26 15:37

US Dollar Index Price Forecast: Targets ascending channel's upper boundary near 99.00

The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is holding losses after two days of gains and trading around 98.40 during the Asian hours on Friday.
New
update2025.09.26 15:15

Crude Oil price today: WTI price bearish at European opening

West Texas Intermediate (WTI) Oil price falls on Friday, early in the European session. WTI trades at $65.00 per barrel, down from Thursday's close at $65.04.Brent Oil Exchange Rate (Brent crude) is also shedding ground, trading at $68.69 after its previous daily close at $68.76.
New
update2025.09.26 15:03

US core PCE inflation set to rise 2.9% YoY in August with Federal Reserve easing outlook in focus

The United States (US) Bureau of Economic Analysis (BEA) will publish the Personal Consumption Expenditures (PCE) Price Index data for August on Friday at 12:30 GMT. 
New
update2025.09.26 15:00

FX option expiries for Sept 26 NY cut

FX option expiries for Sept 26 NY cut at 10:00 Eastern Time via DTCC can be found below.
New
update2025.09.26 14:58

USD/MXN holds losses near 18.50 following Banxico's rate cut, US PCE Price Index eyed

USD/MXN depreciates after two days of gains, trading around 18.50 during the Asian hours on Friday.
New
update2025.09.26 14:38

EUR/JPY trades with mild gains above 174.50 amid softer Japan Tokyo CPI data

The EUR/JPY cross trades in positive territory around 174.80 during the early European session on Friday. The Japanese Yen (JPY) softens against the Euro (EUR) after a slight moderation of consumer inflation in Tokyo.
New
update2025.09.26 14:34

GBP/JPY consolidates below 200.00; JPY strength and UK fiscal concerns cap the upside

The GBP/JPY cross lacks any firm intraday directional bias on Friday and seesaws between tepid gains/minor losses, below the 200.00 psychological mark through the Asian session amid mixed cues.
New
update2025.09.26 14:34

USD/CHF trades firmly near 0.8000 ahead of US PCE inflation data

The USD/CHF pair demonstrates strength near its over two-week high around 0.8000 during Friday's late Asian session, posted on Thursday.
New
update2025.09.26 14:26

USD/INR opens flat even as Trump announces tariffs on pharmaceutical imports

The Indian Rupee (INR) opens on a flat note around 88.90 against the US Dollar (USD) on Friday. The USD/INR pair is expected to move higher as United States (US) President Donald Trump has announced fresh tariffs on pharmaceuticals, which will come into effect on October 1.
New
update2025.09.26 13:52

Disclaimer:arw

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.

  • Facebook
  • Twitter
  • LINE

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

I agree
share
Share
Cancel