{"id":20594,"date":"2025-04-11T09:19:41","date_gmt":"2025-04-11T09:19:41","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=20594"},"modified":"2025-04-11T09:19:41","modified_gmt":"2025-04-11T09:19:41","slug":"usdjpy-slides-as-yen-hits-new-high-amid-trade-war","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-ca\/analysis\/usdjpy-slides-as-yen-hits-new-high-amid-trade-war\/","title":{"rendered":"USDJPY Slides as Yen Hits New High Amid Trade War"},"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-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/download-151-1024x559.png\" alt=\"\" class=\"wp-image-20595\" \/><\/figure>\n\n\n\n<p><strong>Key Points:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>USDJPY<\/strong> falls sharply, hitting a low of <strong>142.318<\/strong> during the session.<\/li>\n\n\n\n<li><strong>Japanese yen<\/strong> strengthens, reaching its highest level since <strong>September 2024<\/strong>.<\/li>\n\n\n\n<li>Escalating <strong>U.S.-China trade war<\/strong> causes broad <strong>dollar weakness<\/strong>, boosting demand for <strong>safe-haven assets<\/strong> like the yen while <strong>U.S. Treasury selloff<\/strong> bolsters yen gains.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\" \/>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\"><strong>USDJPY Slides Amid Rising Tensions<\/strong><\/h2>\n\n\n\n<p>The <strong>USDJPY<\/strong> currency pair saw a significant drop on <strong>Friday<\/strong>, sliding to a low of <strong>142.318<\/strong>, the weakest level seen since <strong>September 2024<\/strong>. This sharp decline was driven by growing <strong><a href=\"https:\/\/www.msn.com\/en-us\/money\/markets\/china-hits-back-at-trump-tariff-hike-raises-duties-on-us-goods-to-125\/ar-AA1CIUQq?ocid=BingNewsSerp\">U.S.-China trade tensions<\/a><\/strong>, as <strong>President Trump\u2019s<\/strong> aggressive tariff policies caused widespread <strong><a href=\"https:\/\/www.msn.com\/en-us\/money\/economy\/dollar-weakens-as-us-threatens-retaliatory-tariffs-on-china\/ar-AA1Cy98P?ocid=BingNewsSerp\">dollar weakness<\/a><\/strong>. As market participants sought the <strong>yen<\/strong> as a safe-haven asset, <strong>the Japanese currency surged<\/strong>.<\/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=\"nl\" dir=\"ltr\">Japan&#39;s Nikkei slumps on trade war worries, stronger yen <a href=\"https:\/\/t.co\/hXVRlHVHdo\">https:\/\/t.co\/hXVRlHVHdo<\/a> <a href=\"https:\/\/t.co\/H6817o0R0e\">pic.twitter.com\/H6817o0R0e<\/a><\/p>&mdash; Reuters (@Reuters) <a href=\"https:\/\/twitter.com\/Reuters\/status\/1910571042835222584?ref_src=twsrc%5Etfw\">April 11, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>The <strong>U.S. dollar<\/strong> faced further pressure as <a href=\"https:\/\/www.cnbc.com\/2025\/04\/10\/us-treasury-yields-investors-welcome-trumps-tariff-pause-.html?msockid=053145c1f92a6afc17b350b2f8bd6b86\"><strong>Treasury yields<\/strong> dropped<\/a>, reinforcing the yen\u2019s rise. <strong>U.S. Treasury selloffs<\/strong>, typically considered a hedge against economic uncertainty, have led to increased demand for the Japanese yen, further pushing <strong>USDJPY<\/strong> lower.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Escalating U.S.-China Trade War Pushes the Yen Higher<\/h2>\n\n\n\n<p>The escalating <strong>U.S.-China trade war<\/strong> continued to weigh heavily on market sentiment. <strong>China\u2019s<\/strong> imposition of a <a href=\"https:\/\/www.nbcnews.com\/politics\/trump-administration\/live-blog\/trump-tariffs-live-updates-china-raises-retaliatory-levies-125-dollar-rcna200775\"><strong>125% tariff on U.S. goods<\/strong><\/a> sparked fears of a global recession. <strong>Beijing\u2019s<\/strong> firm stance against <strong>U.S. tariff actions<\/strong> added to concerns of a prolonged trade conflict, which would likely slow global growth and reduce demand for <strong>U.S. dollars<\/strong>.<\/p>\n\n\n\n<p>In addition to the U.S.-China tensions, <strong><a href=\"https:\/\/www.msn.com\/en-us\/money\/markets\/japan-sets-up-task-force-for-u-s-trade-talks-as-tariff-risk-clouds-economy\/ar-AA1CHLMF?ocid=BingNewsSerp\">U.S.-Japan trade negotiations<\/a><\/strong> remained in focus. <strong>Japan<\/strong> has been seeking to secure more favorable trade terms in ongoing talks, with <strong>10% tariffs<\/strong> currently in place on some goods. The outcome of these negotiations could further impact <strong>USDJPY<\/strong>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Outlook for the Ninja<\/h2>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"446\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/11.4_2-1024x446.jpg\" alt=\"\" class=\"wp-image-20597\" \/><\/figure>\n\n\n\n<p>Picture: USDJPY slides to 142.307, testing support after bearish momentum, <em>as seen on the\u00a0<a href=\"https:\/\/vtmarketsapp.onelink.me\/CD7D\/240525WA\">VT Markets app<\/a><\/em>.<\/p>\n\n\n\n<p><strong>USDJPY decreased by 1.46%, closing at 142.307 after opening at 144.414.<\/strong> The pair saw a consistent downward movement, reaching a low of 142.061 before closing near 142.307.<\/p>\n\n\n\n<p>The moving averages (MA 5,10,30) show a bearish trend, with the shorter-term moving averages crossing below the longer-term ones. This indicates continued downward momentum. The MACD (12,26,9) confirms the bearish trend, with the MACD line (blue) remaining below the signal line (yellow) and the histogram staying in negative territory.<\/p>\n\n\n\n<p>Key levels to watch include <strong>142.318 <\/strong>as immediate support and <strong>147.779 <\/strong>as resistance. A break below support could signal further downside potential, while a rise above resistance could suggest a trend reversal.<\/p>\n\n\n\n<p>The <strong>USDJPY<\/strong> is likely to continue its downward trend if the <strong>U.S.-China trade war<\/strong> continues to escalate. The <strong>yen\u2019s<\/strong> safe-haven demand will likely remain strong, especially as <strong>U.S. Treasuries<\/strong> continue to lose appeal. <strong>Geopolitical tensions<\/strong> and ongoing <strong>trade negotiations<\/strong> will play a key role in determining the future direction of <strong>USDJPY<\/strong>.<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\">Create your live VT Markets account<\/a><\/strong><strong>&nbsp;and&nbsp;<\/strong><strong><a href=\"https:\/\/myaccount.vtmarkets.com\/login\">start trading<\/a><\/strong><strong>&nbsp;now.<\/strong><\/p>\n\n\n\n<p><a href=\"https:\/\/www.vtmarkets.com\/#facebook\" rel=\"noreferrer noopener\" target=\"_blank\"><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>USDJPY slides to 142.318 as U.S.-China trade tensions drive dollar weakness and fuel demand for safe-haven assets like the Japanese yen. -vtmarkets.com<\/p>\n","protected":false},"author":66,"featured_media":20595,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[31],"tags":[45],"class_list":["post-20594","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-yen"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/20594","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=20594"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/20594\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/20595"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=20594"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=20594"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=20594"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}