Forex News
- US Producer Price Index for April surged to 6% YoY, the biggest jump since December 2022 and well above the 4.9% consensus.
- Boston Fed President Susan Collins has aligned with FOMC dissenters and openly floated a rate hike scenario.
- Senate confirmation vote on Kevin Warsh as next Fed Chair scheduled for around 18:00 GMT, two days before Powell's chair term ends.
- President Trump landed in Beijing for the Xi summit, but markets are fading hopes for a breakthrough as the Iran war hands China more leverage.
Dow Jones Industrial Average (DJIA) futures slipped onto the back foot through European and early US hours on Wednesday, struggling to hold above 49,500 after fading from overnight highs near 49,800. The S&P 500 and Nasdaq Composite are also nursing losses, with risk sentiment souring on a blistering wholesale inflation print and a hawkish chorus from Federal Reserve (Fed) officials. Add in a high-profile Senate vote to install Kevin Warsh atop the Fed and President Trump's arrival in Beijing for a high-stakes summit, and traders have plenty of reasons to keep risk dialled down.
Hot PPI deepens the pipeline inflation story
The April Producer Price Index (PPI) jolted markets, with headline prices rising 1.4% MoM, nearly triple the 0.5% consensus and the largest monthly increase since March 2022. On a YoY basis, PPI accelerated to 6%, far above the 4.9% consensus and the hottest reading since December 2022. Core PPI, which strips out food and energy, climbed 1% MoM and 5.2% YoY, also smashing forecasts of 0.3% and 4.3% respectively. Energy did most of the heavy lifting, with gasoline prices surging 15.6% as the war with Iran continued to squeeze global Oil flows. But the services side also lit up, climbing 1.2% for the biggest gain since March 2022, a worrying signal that pipeline pressures are spreading well beyond fuel costs.
Collins puts a rate hike on the table in Boston speech
Fed officials have grown markedly more uncomfortable with the inflation backdrop, and Boston Fed President Susan Collins drove that point home in remarks to the Boston Economic Club on Wednesday. While stressing it is not her base case, Collins said she "could envision a scenario in which some policy tightening is needed to ensure that inflation returns durably to 2% in a timely manner". She also took a direct shot at the dovish playbook, noting that "more than five years of above-target inflation has reduced my patience for 'looking through' another supply shock", and warned the Iran war's hit to global supply chains will linger even if a deal is struck soon. Collins, a non-voting Federal Open Market Committee (FOMC) member this year, expects the current slightly restrictive stance to stay in place "for some time", with high inflation unlikely to abate until 2027. With Tuesday's hot Consumer Price Index (CPI) report and Wednesday's even hotter PPI release feeding into the picture, traders are taking the hike talk seriously, with futures pricing now showing roughly a 40% chance of a hike by year-end and effectively no probability of a cut in June.
Warsh Fed Chair vote teed up for 18:00 GMT
The political backdrop adds another layer to the Fed narrative. The Senate is scheduled to vote on Kevin Warsh's confirmation as Fed Chair at around 18:00 GMT, after Tuesday's 51-45 vote confirmed him to the Board of Governors. Warsh, a Fed governor between 2006 and 2011 and a known inflation hawk, has pitched what he calls "regime change" at the Fed, including a smaller balance sheet and tighter coordination with the Treasury. Markets are watching closely because Powell's term as chair expires Friday, and Powell has confirmed he intends to remain on the Board through January 2028 to defend the institution's independence. With CPI and PPI both sitting at three-year highs, Warsh's first FOMC meeting on June 16-17 looks set to be anything but quiet.
Trump-Xi summit hopes fade as Iran war hands China leverage
President Trump landed in Beijing on Wednesday, his first visit to China since 2017 and his second face-to-face with Xi Jinping in under a year after their October sit-down on the sidelines of the APEC summit in Busan. The two leaders are scheduled to meet Thursday and Friday with trade, Taiwan, artificial intelligence and the Iran war all on the agenda, but the optimism that usually accompanies such summits is conspicuously absent. The problem for the US side is timing. With the Strait of Hormuz still under a US blockade and Iran's foreign minister Abbas Araghchi having just visited Beijing, China is sitting on more leverage than at any point since the conflict began, not less. Trump has already described the current ceasefire as on "massive life support" and his aides are reportedly weighing a resumption of combat operations. Far from softening Xi's position, the US-Iran standoff is reinforcing the Chinese leader's home turf advantage, and equity traders are responding by dialling back expectations for any meaningful trade or geopolitical wins from the trip.
What's next
Attention now turns to Thursday's data dump at 12:30 GMT, with Initial Jobless Claims expected at 205K and April Retail Sales forecast to rise 0.5% MoM, alongside the closely watched Retail Sales Control Group. Any sign of consumer pullback would harden the stagflationary tone that has driven this week's defensive bid in stocks, while a resilient print could give the hike camp at the Fed even more ammunition. Friday's NY Empire State Manufacturing Index and Industrial Production round out the week, but the macro spotlight will remain firmly on Beijing and the Senate floor.
Dow Jones 15-minute chart
Dow Jones FAQs
The Dow Jones Industrial Average, one of the oldest stock market indices in the world, is compiled of the 30 most traded stocks in the US. The index is price-weighted rather than weighted by capitalization. It is calculated by summing the prices of the constituent stocks and dividing them by a factor, currently 0.152. The index was founded by Charles Dow, who also founded the Wall Street Journal. In later years it has been criticized for not being broadly representative enough because it only tracks 30 conglomerates, unlike broader indices such as the S&P 500.
Many different factors drive the Dow Jones Industrial Average (DJIA). The aggregate performance of the component companies revealed in quarterly company earnings reports is the main one. US and global macroeconomic data also contributes as it impacts on investor sentiment. The level of interest rates, set by the Federal Reserve (Fed), also influences the DJIA as it affects the cost of credit, on which many corporations are heavily reliant. Therefore, inflation can be a major driver as well as other metrics which impact the Fed decisions.
Dow Theory is a method for identifying the primary trend of the stock market developed by Charles Dow. A key step is to compare the direction of the Dow Jones Industrial Average (DJIA) and the Dow Jones Transportation Average (DJTA) and only follow trends where both are moving in the same direction. Volume is a confirmatory criteria. The theory uses elements of peak and trough analysis. Dow’s theory posits three trend phases: accumulation, when smart money starts buying or selling; public participation, when the wider public joins in; and distribution, when the smart money exits.
There are a number of ways to trade the DJIA. One is to use ETFs which allow investors to trade the DJIA as a single security, rather than having to buy shares in all 30 constituent companies. A leading example is the SPDR Dow Jones Industrial Average ETF (DIA). DJIA futures contracts enable traders to speculate on the future value of the index and Options provide the right, but not the obligation, to buy or sell the index at a predetermined price in the future. Mutual funds enable investors to buy a share of a diversified portfolio of DJIA stocks thus providing exposure to the overall index.
- US PPI jumps to four-year high, lifting Treasury yields.
- Dollar gains as oil-driven inflation keeps Fed cuts distant.
- Starmer resignation rumors pressure Sterling before UK GDP data.
The British Pound posted losses of 0.19% in back-to-back bearish days after a red-hot US inflation report, piling pressure on UK Prime Minister Keir Starmer to resign from his job. The GBP/USD trades at 1.3513 after peaking at 1.3551.
Sterling weakens as US inflation shock and UK politics bite
Inflation continues to grab the headlines. High energy prices, due to stalled negotiations between the US and Iran to resolve the conflict, keep Oil prices above $100. Hence, central banks are positioning to hold interest rates higher for longer, prompting traders to buy the Greenback.
Producer inflation in the US hit its highest level in 4 years, up 6% YoY, exceeding March’s 4.3% rise. Excluding volatile items, the so-called Core Producer Price Index (PPI) expanded by 5.2% YoY, up from March’s 4%, crushing estimates of 4.3%.
Consequently, US Treasury yields shoot up, with the 10-year note up 2.5 basis points to 4.488%. The US Dollar Index (DXY), which tracks the buck’s value against a basket of six currencies, is up 0.21% at 98.49.
As of today, money markets are pricing in the first Federal Reserve interest rate cut, expecting the central bank to keep rates unchanged. Data from Prime Terminal indicates that at the first meeting led by the new Chair —if confirmed by the US Senate—Kevin Warsh.
In the UK, some Labor MPs voted to oust Prime Minister Keir Starmer following the local election, in which his party suffered losses. Rumors that his health minister, Wes Streeting, is resigning to trigger a contest to replace him are exerting pressure on Sterling.
Meanwhile, 111 Labor MPs signed a statement of support for Starmer, saying that “This is no time for a leadership contest.”
Aside from this, GBP/USD traders are awaiting the release of UK GDP data on Thursday. In the US, jobless claims and Retail Sales will provide updates on the economy.
GBP/USD Price Forecast: Technical outlook
In the daily chart, GBP/USD trades at 1.3518, holding a mild bullish bias as it stays above the clustered simple moving averages (SMAs) around 1.3430 while still trading below the descending resistance trend line that is now projected near 1.3620. The latest 14-day Relative Strength Index hovers close to the 50 line, suggesting balanced momentum and hinting that any immediate upside will likely depend on whether buyers can sustain the pair above the reclaimed moving average support.
On the topside, initial resistance is defined by the downward-sloping trend line break level around 1.3620, and a daily close above this barrier would open the way for a more sustained recovery. On the downside, the SMA cluster near 1.3430 acts as the first significant support, with the immediate price area around 1.3518 functioning as a nearby pivot that bulls will want to defend to keep the constructive tone intact.
(The technical analysis of this story was written with the help of an AI tool.)
Pound Sterling Price This week
The table below shows the percentage change of British Pound (GBP) against listed major currencies this week. British Pound was the strongest against the Swiss Franc.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.32% | 0.27% | 0.76% | 0.16% | -0.57% | 0.03% | 0.58% | |
| EUR | -0.32% | -0.06% | 0.50% | -0.17% | -0.89% | -0.33% | 0.26% | |
| GBP | -0.27% | 0.06% | 0.06% | -0.13% | -0.86% | -0.26% | 0.32% | |
| JPY | -0.76% | -0.50% | -0.06% | -0.66% | -1.33% | -0.74% | -0.12% | |
| CAD | -0.16% | 0.17% | 0.13% | 0.66% | -0.64% | -0.08% | 0.42% | |
| AUD | 0.57% | 0.89% | 0.86% | 1.33% | 0.64% | 0.60% | 1.16% | |
| NZD | -0.03% | 0.33% | 0.26% | 0.74% | 0.08% | -0.60% | 0.55% | |
| CHF | -0.58% | -0.26% | -0.32% | 0.12% | -0.42% | -1.16% | -0.55% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).
BNY’s Geoff Yu notes that APAC (Asia-Pacific) currencies remains underowned outside the Korean Won (KRW) and Japanese Yen (JPY), as investors revisit the region for diversification but remain wary of inflation spillovers from China. Yu expects further Chinese Yuan (CNY) appreciation, yet not enough to ease pressure on other APAC currencies, and highlights rising intervention risks and the need for greater vigilance on pass-through from CNY, JPY and US Dollar (USD).
Selective support for APAC currencies
"The search for diversification continues amid resurging tensions over Iran and fears over equity concentration risk, and the market is once again revisiting APAC FX."
"A process that we felt would occur in any case has been accelerated by the conflict, and CNY ended last week as the best-bought currency in EM APAC, even though the net gain was marginal."
"Based on current flow figures, it appears markets fear the adverse scenario more in the near term."
"Meanwhile, outflows suggest the market will only hold currencies (or be unhedged in underlying markets) where there is a clear idiosyncratic narrative, whether AI-driven growth (South Korea), or more assertive intervention (Japan)."
"We continue to see CNY appreciation, but not at a pace that will provide relief for other APAC currencies."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)
- Silver advances on Wednesday, supported by robust physical demand in China and persistent buying across Asian markets.
- Tensions in the Middle East and expectations surrounding the Fed continue to support interest in precious metals.
- TD Securities highlights that elevated Chinese premiums and import flows are supporting Silver’s bullish momentum.
Silver (XAG/USD) advances on Wednesday and trades around $88.65 at the time of writing, up 2.40% on the day. The white metal remains supported by strong Asian demand, despite the rebound in the US Dollar (USD) and higher US Treasury yields, which generally limit the appeal of non-yielding assets.
The bullish move in Silver comes amid persistent geopolitical tensions in the Middle East, as negotiations between the United States (US) and Iran remain deadlocked. Concerns over disruptions to energy supply continue to fuel global inflationary pressures, reinforcing investor interest in precious metals.
The latest US inflation data also strengthened expectations that the Federal Reserve (Fed) could maintain a restrictive monetary policy for longer. The US Consumer Price Index (CPI) accelerated to 3.8% YoY in April, its highest level since May 2023, while the Producer Price Index (PPI) rose 6% YoY. This dynamic is pushing US Treasury yields higher and supporting the Greenback.
Despite this less favorable environment for precious metals, Silver continues to show resilience. Strategists at TD Securities believe Chinese demand is currently acting as a key driver for the market. The bank noted that top traders on the Shanghai Futures Exchange (SHFE) have remained buyers of Silver in recent weeks, while Chinese premiums continue to stay elevated.
TD Securities also added that the import arbitrage has remained open several times recently, suggesting that Asian demand is supporting Silver’s upside beyond systematic Commodity Trading Advisor (CTA) flows.
This strength in physical demand is helping offset the negative impact of a stronger US Dollar and expectations that the Fed could keep interest rates higher for longer.
Silver FAQs
Silver is a precious metal highly traded among investors. It has been historically used as a store of value and a medium of exchange. Although less popular than Gold, traders may turn to Silver to diversify their investment portfolio, for its intrinsic value or as a potential hedge during high-inflation periods. Investors can buy physical Silver, in coins or in bars, or trade it through vehicles such as Exchange Traded Funds, which track its price on international markets.
Silver prices can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can make Silver price escalate due to its safe-haven status, although to a lesser extent than Gold's. As a yieldless asset, Silver tends to rise with lower interest rates. Its moves also depend on how the US Dollar (USD) behaves as the asset is priced in dollars (XAG/USD). A strong Dollar tends to keep the price of Silver at bay, whereas a weaker Dollar is likely to propel prices up. Other factors such as investment demand, mining supply – Silver is much more abundant than Gold – and recycling rates can also affect prices.
Silver is widely used in industry, particularly in sectors such as electronics or solar energy, as it has one of the highest electric conductivity of all metals – more than Copper and Gold. A surge in demand can increase prices, while a decline tends to lower them. Dynamics in the US, Chinese and Indian economies can also contribute to price swings: for the US and particularly China, their big industrial sectors use Silver in various processes; in India, consumers’ demand for the precious metal for jewellery also plays a key role in setting prices.
Silver prices tend to follow Gold's moves. When Gold prices rise, Silver typically follows suit, as their status as safe-haven assets is similar. The Gold/Silver ratio, which shows the number of ounces of Silver needed to equal the value of one ounce of Gold, may help to determine the relative valuation between both metals. Some investors may consider a high ratio as an indicator that Silver is undervalued, or Gold is overvalued. On the contrary, a low ratio might suggest that Gold is undervalued relative to Silver.
Susan Collins, President of the Federal Reserve (Fed) Bank of Boston, spoke at a fireside chat at an event hosted by the Boston Economic Club on Wednesday. She claims that she expects the Fed to need to keep a restrictive policy for some time, and that a quick end to the Middle East war would mean resilient demand and some rise in unemployment in the US.
Key takeaways:
Right now, Fed policy is well positioned to deal with risks.
I expect the Fed will need to keep restrictive policy for some time.
A quick end to war would mean resilient demand, some rise in unemployment.
Prolonged Middle East war creates challenging policy choices.
I hope the economy will allow for more rate cuts later this year.
Essential for the Fed to do what's needed to get inflation to 2%.
It’s possible that the US central bank will need to hike interest rates to cool inflation pressures.
The longer the war goes on, the greater the inflation impact.
Inflation will not abate this year, could cool in 2027.
It is critical that inflation expectations stay anchored.
Energy shock creates downside growth risks, upside inflation risk.
Inflation persistence makes it harder to look through the energy shock.
most worried about the inflation outlook right now.
The US is more insulated against energy shocks than in the past.”
- Gold trades cautiously lower on Wednesday, pressured by a stronger US Dollar and elevated US Treasury yields.
- Fed rate hike expectations gain traction after US CPI accelerated to its highest level since May 2023.
- On the 4-hour chart, Gold trades just below the Bollinger midline near $4,706, with subdued ADX readings signaling weak trend strength.
Gold (XAU/USD) consolidates minor losses on Wednesday as the US Dollar (USD) extends its recovery amid persistent uncertainty over US-Iran talks and growing expectations that the Federal Reserve (Fed) could keep interest rates higher for longer. At the time of writing, XAU/USD is trading around the $4,687, down nearly 0.55%.
Higher energy prices caused by supply disruptions in the Middle East continued to feed into US inflation, with the Producer Price Index (PPI) rising 6.0% YoY in April, accelerating from 4.3% in March and above market expectations of 4.9%. Meanwhile, the core PPI excluding Food and Energy climbed 5.2% YoY, up from 4.0% previously and also surpassing forecasts of 4.3%.
The latest data follows a stronger-than-expected Consumer Price Index (CPI) report released on Tuesday, which showed headline inflation accelerating to 3.8% YoY in April from 3.3% in March, above expectations of 3.7% and marking the highest reading since May 2023.
The hotter-than-expected inflation data further reduced expectations for Fed interest rate cuts this year, with traders now increasingly pricing in the possibility that the central bank’s next policy move could be a rate hike. This is pushing US Treasury yields higher, reducing the appeal of non-yielding assets such as Gold. The benchmark US 10-year Treasury yield climbed to around 4.48% on Wednesday, its highest level since July 2025.
According to the CME FedWatch tool, traders expect the Fed to keep borrowing costs unchanged in the coming months, though the chances of a rate hike rise to around 43% by December and nearly 54% by January 2027.
The higher-for-longer interest rate outlook has kept Gold under pressure since the onset of the US-Iran war, diminishing its appeal as both an inflation hedge and a safe-haven asset.
Meanwhile, India’s decision to sharply raise import tariffs on Gold and Silver from 6% to 15% is also drawing attention across bullion markets. The move triggered a surge in domestic Gold prices and could dampen physical demand from one of the world’s largest consumers of the precious metal in the coming months.
On the geopolitical front, there appears to be no near-term resolution in sight to end the war in the Middle East, as peace negotiations between the US and Iran remain deadlocked over Tehran’s nuclear program, keeping the Strait of Hormuz effectively closed.
US President Donald Trump is scheduled to meet Chinese President Xi Jinping later this week. Speaking to reporters on Tuesday, Trump said he does not need China’s assistance in ending the war with Iran and added that the US would win the war “one way or the other.”
Technical Analysis: Range-bound trade persists near $4,700 amid weak momentum
On the 4-hour chart, XAU/USD is consolidating just under the 20-period Bollinger Simple Moving Average (SMA) at roughly $4,705, keeping the near-term tone neutral after the recent pullback from higher levels.
The Bollinger bands show price holding in the upper half of the envelope, but the Relative Strength Index (RSI) around 51 and Average Directional Index (ADX) near 18 suggest fading momentum and a weak directional trend, hinting at range-bound conditions rather than a decisive breakout.
On the topside, initial resistance emerges at the Bollinger midline near $4,706, with the upper band around $4,753 acting as the next cap ahead of the horizontal barrier at $4,850.00.
On the downside, the lower Bollinger band at approximately $4,657 offers the first layer of support, with more robust underlying demand expected near the horizontal support zone around $4,500.00 if sellers regain control.
(The technical analysis of this story was written with the help of an AI tool.)
Gold FAQs
Gold has played a key role in human’s history as it has been widely used as a store of value and medium of exchange. Currently, apart from its shine and usage for jewelry, the precious metal is widely seen as a safe-haven asset, meaning that it is considered a good investment during turbulent times. Gold is also widely seen as a hedge against inflation and against depreciating currencies as it doesn’t rely on any specific issuer or government.
Central banks are the biggest Gold holders. In their aim to support their currencies in turbulent times, central banks tend to diversify their reserves and buy Gold to improve the perceived strength of the economy and the currency. High Gold reserves can be a source of trust for a country’s solvency. Central banks added 1,136 tonnes of Gold worth around $70 billion to their reserves in 2022, according to data from the World Gold Council. This is the highest yearly purchase since records began. Central banks from emerging economies such as China, India and Turkey are quickly increasing their Gold reserves.
Gold has an inverse correlation with the US Dollar and US Treasuries, which are both major reserve and safe-haven assets. When the Dollar depreciates, Gold tends to rise, enabling investors and central banks to diversify their assets in turbulent times. Gold is also inversely correlated with risk assets. A rally in the stock market tends to weaken Gold price, while sell-offs in riskier markets tend to favor the precious metal.
The price can move due to a wide range of factors. Geopolitical instability or fears of a deep recession can quickly make Gold price escalate due to its safe-haven status. As a yield-less asset, Gold tends to rise with lower interest rates, while higher cost of money usually weighs down on the yellow metal. Still, most moves depend on how the US Dollar (USD) behaves as the asset is priced in dollars (XAU/USD). A strong Dollar tends to keep the price of Gold controlled, whereas a weaker Dollar is likely to push Gold prices up.
Scotiabank strategists Shaun Osborne and Eric Theoret report EUR/USD trading softer near 1.1711, extending its recent downward drift as markets weigh US–Iran tensions and UK political risks alongside German reform uncertainty. Euro area GDP and industrial production met or slightly missed expectations, while French unemployment rose above 8%. They note spread support loss has stabilized, opening potential for near-term consolidation around key Fibonacci levels.
Euro softness and range signals
"The EUR is soft and extending its downward drift, entering Wednesday’s NA session with a 0.3% decline vs. the USD."
"Sentiment remains critical as market participants balance the US/Iran conflict with fresh political uncertainty in the UK and consider the German government’s halting attempts at reform."
"The recent loss of spread support looks to have stabilized, offering the potential for near-term consolidation in the EUR."
"Neutral – the RSI is firmly back at the neutral threshold following the EUR’s latest pullback from its recent highs around 1.18."
"The medium-term range is defined by the Jan-March decline with near-term focus centered around key fibo levels offering support (38.2% at 1.1667), resistance (61.8% at 1.1825) and congestion."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)
- The Japanese Yen remains under pressure against the US Dollar after stronger-than-expected US inflation data.
- Markets are now pricing in higher odds of at least one Federal Reserve rate hike this year.
- Investors are also watching the meeting between Donald Trump and Xi Jinping this week.
USD/JPY trades around 157.80 on Wednesday at the time of writing, up 0.13% on the day, as the US Dollar (USD) continues to benefit from renewed hawkish expectations surrounding the Federal Reserve’s (Fed) monetary policy outlook.
The US Dollar remains close to its recent highs after Tuesday’s stronger-than-expected United States (US) Consumer Price Index (CPI) release. Headline inflation in the US rose 3.8% YoY in April, above market expectations of 3.7% and the previous reading of 3.3%, reinforcing expectations that the Fed could keep interest rates higher for longer.
Data released on Wednesday also confirmed persistent inflationary pressures in the United States. The Producer Price Index (PPI) surged 6% YoY in April, above market expectations of 4.9%, while core PPI reached 5.2% YoY. Rising energy prices linked to geopolitical tensions in the Middle East continue to fuel global inflation concerns.
According to the CME FedWatch tool, the chance of at least one Fed rate hike by the end of the year increased sharply after the US inflation data. This shift supports US Treasury yields and the Greenback at the expense of the Japanese Yen (JPY).
The next major catalyst for markets will now be the meeting between US President Donald Trump and Chinese President Xi Jinping in Beijing this week. Investors will closely monitor any comments regarding trade and geopolitical tensions, while developments surrounding Iran and the Strait of Hormuz continue to support risk aversion.
On the Japanese side, the JPY is limiting part of its losses amid expectations of further monetary tightening by the Bank of Japan (BoJ). The Summary of Opinions from the central bank’s April meeting showed that several policymakers are considering additional rate hikes as early as the next meetings, mainly due to inflation risks linked to rising Oil prices.
The Organisation for Economic Co-operation and Development (OECD) also stated that the Bank of Japan could raise its policy rate to 2% by the end of 2027, while urging the Japanese government to strengthen fiscal discipline.
Japanese Yen Price Today
The table below shows the percentage change of Japanese Yen (JPY) against listed major currencies today. Japanese Yen was the strongest against the New Zealand Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.26% | 0.20% | 0.14% | 0.02% | -0.22% | 0.35% | 0.30% | |
| EUR | -0.26% | -0.07% | -0.11% | -0.26% | -0.48% | 0.09% | 0.02% | |
| GBP | -0.20% | 0.07% | -0.04% | -0.18% | -0.40% | 0.18% | 0.08% | |
| JPY | -0.14% | 0.11% | 0.04% | -0.12% | -0.36% | 0.18% | 0.15% | |
| CAD | -0.02% | 0.26% | 0.18% | 0.12% | -0.24% | 0.34% | 0.26% | |
| AUD | 0.22% | 0.48% | 0.40% | 0.36% | 0.24% | 0.57% | 0.50% | |
| NZD | -0.35% | -0.09% | -0.18% | -0.18% | -0.34% | -0.57% | -0.08% | |
| CHF | -0.30% | -0.02% | -0.08% | -0.15% | -0.26% | -0.50% | 0.08% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Japanese Yen from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent JPY (base)/USD (quote).
BNY’s Bob Savage notes Japanese 20-year yields have climbed to 1997 highs as JGBs track U.S. moves, with markets watching USD/JPY holding below 158. A record current account surplus and supportive comments from U.S. officials reinforce expectations for a BoJ rate hike in June. The OECD projects overnight rates reaching 2% by end-2027, anchoring a gradual tightening path.
Higher yields bolster Japanese Yen outlook
"Japanese 20y bond yields have risen to 1997 highs, up 5bp to 3.495%."
"Japanese bonds tracked the U.S. move overnight, with a focus on JPY holding below 158 and the ongoing elevated oil prices."
"Japan’s current account surplus rose to a record for March, and U.S. Treasury Secretary Scott Bessent told PM Sanae Takaichi that Japan’s economic fundamentals were strong, both of which set the course for the BoJ to hike rates in June."
"The OECD sees overnight rates of 2% at the end of 2027."
"Japanese flows and U.S. bonds will be in the spotlight with the U.S. 30y auction today."
(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)
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