{"id":18284,"date":"2025-03-13T08:17:04","date_gmt":"2025-03-13T08:17:04","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=18284"},"modified":"2025-03-13T08:17:04","modified_gmt":"2025-03-13T08:17:04","slug":"yen-strengthens-as-usdjpy-retreats","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-asia\/analysis\/yen-strengthens-as-usdjpy-retreats\/","title":{"rendered":"Yen Strengthens as USDJPY Retreats"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"559\" src=\"https:\/\/www.vtmarkets.com\/en-asia\/wp-content\/uploads\/sites\/27\/2026\/03\/image_fx_-2025-03-13T161529.975-1024x559.png\" alt=\"\" class=\"wp-image-18287\"\/><\/figure>\n\n\n\n<p><strong>Key Points:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>USDJPY reversed from a session high of 149.196, closing at 147.908, with a low of 147.576.<\/li>\n\n\n\n<li>The yen gained amid expectations of further BOJ tightening and strong domestic wage growth.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\"\/>\n\n\n\n<p>The <strong>Ninja (USDJPY)<\/strong> pulled back from a high of <strong>149.196<\/strong>, slipping to <strong>147.908<\/strong> as traders reacted to hawkish signals from the <strong>Bank of Japan (BOJ)<\/strong>. After a prolonged period of yen weakness, expectations of <strong>monetary tightening from the BOJ<\/strong> have fueled a resurgence in the Japanese currency.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">The yen may strengthen to around 130 per dollar on the back of rising Japanese interest rates, according to BNP Paribas Asset Management <a href=\"https:\/\/t.co\/tW85Ua5IIc\">https:\/\/t.co\/tW85Ua5IIc<\/a><\/p>&mdash; Bloomberg (@business) <a href=\"https:\/\/twitter.com\/business\/status\/1897524337629888722?ref_src=twsrc%5Etfw\">March 6, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">BOJ Policy Shift Supports the Yen<\/h2>\n\n\n\n<p>Governor <strong>Kazuo Ueda reaffirmed the <a href=\"https:\/\/t.co\/2s3Bdxeoxe\" target=\"_blank\" rel=\"noopener\" title=\"\">BOJ\u2019s commitment to unwinding its balance sheet<\/a><\/strong>, reinforcing speculation that Japan could move further away from its ultra-loose monetary stance. With <strong>inflation expectations rising and labour unions securing <a href=\"https:\/\/t.co\/Ix9NWg5Okf\" target=\"_blank\" rel=\"noopener\" title=\"\">record wage hikes<\/a><\/strong>, the case for an <strong>interest rate hike later this year has strengthened<\/strong>. Market participants are increasingly pricing in a <strong>25 basis point increase to 0.75% by July<\/strong>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">USDJPY Faces Headwinds<\/h2>\n\n\n\n<p>The yen\u2019s strength comes as <strong>the U.S. dollar struggles to maintain momentum<\/strong>. The <strong>U.S. Dollar Index (USDX) slipped to 103.57<\/strong>, a fresh five-month low, reflecting broader concerns over the <strong><a href=\"https:\/\/t.co\/8JfZhVvIIg\" target=\"_blank\" rel=\"noopener\" title=\"\">Federal Reserve\u2019s policy outlook <\/a>and trade war risks<\/strong>.<\/p>\n\n\n\n<p>Adding to pressure on <strong>USDJPY<\/strong>, U.S. President <strong><a href=\"https:\/\/t.co\/p6XV6m26uw\" target=\"_blank\" rel=\"noopener\" title=\"\">Donald Trump\u2019s escalating tariff threats<\/a><\/strong> against the <strong>European Union<\/strong> have raised fears of <strong>disruptions to global trade<\/strong>, further bolstering the yen\u2019s appeal as a safe-haven asset.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Analysis<\/h2>\n\n\n\n<p>The <strong>USD\/JPY pair is trading at 147.91<\/strong>, reflecting a <strong>-0.22% decline<\/strong> for the session. After peaking at <strong>149.19<\/strong>, the price reversed, experiencing a steady downtrend. The <strong>moving averages (5, 10, 30) confirm the bearish sentiment<\/strong>, with the price trending below key levels. The <strong>MACD is in negative territory<\/strong>, indicating downward momentum, though a slight pickup in histogram bars suggests a potential near-term bounce.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-asia\/wp-content\/uploads\/sites\/27\/2026\/03\/image-12-1024x442.jpg\" alt=\"\" class=\"wp-image-18285\"\/><\/figure>\n\n\n\n<p class=\"has-text-align-center\"><em>Picture: USD\/JPY retreats from 149.19 peak, testing key support at 147.57, as seen on the <a href=\"https:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WAhttps:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WAhttps:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WAhttps:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WA\" target=\"_blank\" rel=\"noopener\" title=\"\">VT Markets app<\/a><\/em><\/p>\n\n\n\n<p>Support lies at <strong>147.57<\/strong>, and a break below this level could trigger a deeper move toward <strong>147.00<\/strong>. On the upside, resistance is seen at <strong>148.37<\/strong>, followed by <strong>149.19<\/strong>. Market participants should monitor <strong>U.S. Treasury yields, Bank of Japan policy cues, and risk sentiment shifts<\/strong>, as these factors will influence USD\/JPY movements.<\/p>\n\n\n\n<p>With <strong>growing speculation over Japan\u2019s tightening cycle and ongoing volatility in global markets<\/strong>, traders are bracing for further movement in USDJPY in the coming sessions.<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a><\/strong><strong> and <\/strong><strong><a href=\"https:\/\/myaccount.vtmarkets.com\/login\">start trading<\/a><\/strong><strong> now.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>USDJPY slides from 149.196 to 147.908 as yen strengthens on BOJ tightening signals. Traders eye key support at 147.500. &#8211; vtmarkets.com<\/p>\n","protected":false},"author":64,"featured_media":18287,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[31],"tags":[9,10,45],"class_list":["post-18284","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-dollar","tag-forex","tag-yen"],"acf":{"acf_article_selection_author":""},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts\/18284","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/users\/64"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/comments?post=18284"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts\/18284\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/media\/18287"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/media?parent=18284"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/categories?post=18284"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/tags?post=18284"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}