{"id":41546,"date":"2026-02-11T14:44:14","date_gmt":"2026-02-11T06:44:14","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=41546"},"modified":"2026-02-11T14:44:14","modified_gmt":"2026-02-11T06:44:14","slug":"yen-jumps-as-takaichi-win-shakes-dollar-bulls","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-ca\/analysis\/yen-jumps-as-takaichi-win-shakes-dollar-bulls\/","title":{"rendered":"Yen Jumps as Takaichi Win Shakes Dollar Bulls"},"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\/yen5-1024x559.png\" alt=\"\" class=\"wp-image-17043\"\/><\/figure>\n\n\n\n<p><strong>Key Points<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>USD\/JPY drops to 152.877, down 0.99%, after Takaichi\u2019s election win boosted yen demand<\/li>\n\n\n\n<li>Dollar pressured by weak US data and cautious bets ahead of key NFP report<\/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 Japanese yen extended its rally on Wednesday, with <strong>USD\/JPY falling nearly 1% to 152.877<\/strong>, following a similar-sized drop the session prior.<\/p>\n\n\n\n<p>This swift move reflects a broader shift in sentiment as investors respond to Prime Minister <strong>Sanae Takaichi\u2019s<\/strong> landslide victory, which has reshaped expectations around Japan\u2019s fiscal and economic strategy.<\/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\">Japan\u2019s Sanae Takaichi just secured a landslide election win, with a majority that makes her the nation\u2019s strongest postwar leader. What does this mean for her vision of a more assertive Japan? <a href=\"https:\/\/twitter.com\/oanhha?ref_src=twsrc%5Etfw\">@Oanhha<\/a> and <a href=\"https:\/\/twitter.com\/sakmurak?ref_src=twsrc%5Etfw\">@sakmurak<\/a> discuss on today\u2019s Big Take Asia podcast.<br><br>\ud83c\udf99\ufe0f Listen now:\u2026 <a href=\"https:\/\/t.co\/pOZEhzj8P3\">pic.twitter.com\/pOZEhzj8P3<\/a><\/p>&mdash; Bloomberg (@business) <a href=\"https:\/\/twitter.com\/business\/status\/2021354209224913282?ref_src=twsrc%5Etfw\">February 10, 2026<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>The result hands Takaichi\u2019s government a strong mandate, enabling greater control over fiscal planning and dampening the need for politically motivated stimulus packages.<\/p>\n\n\n\n<p><a href=\"https:\/\/t.co\/tVUlyL4f9d\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">Japanese government bonds (JGBs)<\/a> and the yen have both rallied on the back of reduced fiscal risk and a market-friendly outlook.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Dollar Weakens Ahead of Key Data<\/h2>\n\n\n\n<p>The greenback remains under broad pressure as weaker-than-expected US data has raised doubts about the strength of the economic recovery.<\/p>\n\n\n\n<p>Retail sales and labour cost growth both slowed in the fourth quarter, setting a cautious tone ahead of the <strong>January nonfarm payrolls report<\/strong>, where markets expect a modest <strong>+70,000 job gain<\/strong> and a steady <strong>4.4% unemployment rate<\/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=\"en\" dir=\"ltr\">US job growth likely picked up in January, supported by fewer layoffs in some seasonal industries, but the labor market remained sluggish as lingering uncertainty over import tariffs tempered hiring and tighter immigration enforcement constrained the supply of workers\u2026<\/p>&mdash; Reuters (@Reuters) <a href=\"https:\/\/twitter.com\/Reuters\/status\/2021457922526675338?ref_src=twsrc%5Etfw\">February 11, 2026<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>The Federal Reserve is now expected to deliver around <strong>60bps of cuts by December<\/strong>, with the first move potentially coming mid-year.<\/p>\n\n\n\n<p>Commentary from officials remains mixed, but traders are increasingly positioning for easing as inflation slows and productivity improves.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Analysis<\/h2>\n\n\n\n<p><strong>USDJPY<\/strong> has sharply retreated to <strong>152.877<\/strong>, posting a notable daily loss of <strong>-1.526 (-0.99%)<\/strong>. After topping out at <strong>159.452<\/strong> in late January, the pair has entered a clear downward correction, now trading below its short-term moving averages.<\/p>\n\n\n\n<p>The breakdown below the <strong>MA5 (155.479)<\/strong>, <strong>MA10 (155.358)<\/strong>, <strong>MA20 (155.944)<\/strong>, and <strong>MA30 (156.426)<\/strong> signals the erosion of bullish momentum.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/image-14-1024x472.jpg\" alt=\"\" class=\"wp-image-41547\"\/><\/figure>\n\n\n\n<p>The rejection from the 159.45 high coincided with heavy selling pressure, evidenced by increased volume during the red candles that followed. This correction has now erased nearly half of the previous uptrend that began in late September from <strong>145.484<\/strong>.<\/p>\n\n\n\n<p>Despite a minor bounce attempt around <strong>154\u2013155<\/strong>, selling pressure has resumed, dragging the pair back toward prior support levels.<\/p>\n\n\n\n<p>If current support near <strong>152.80<\/strong> fails to hold, the next key levels to watch are <strong>151.50<\/strong>, followed by a possible revisit of <strong>150.00<\/strong>. On the upside, resistance now lies firmly around <strong>155.00<\/strong>, which also aligns with the cluster of moving averages.<\/p>\n\n\n\n<p>With MACD likely to turn bearish and volume shifting toward sellers, USDJPY may continue to drift lower unless strong intervention or a fundamental catalyst emerges.<\/p>\n\n\n\n<p>Traders will be closely watching for signs of bottoming or further breakdown in the coming sessions.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Market Implications<\/h2>\n\n\n\n<p>With the yen on the offensive and the dollar reeling from weaker data, traders are increasingly cautious ahead of the US jobs report.<\/p>\n\n\n\n<p>If payrolls undershoot expectations, the move away from the dollar could accelerate, especially against low-yielders like the yen and franc.<\/p>\n\n\n\n<p>USD\/JPY may continue to trend lower, with price action suggesting a potential test below <strong>152<\/strong> if risk sentiment deteriorates or bond yields decline.<\/p>\n\n\n\n<p><strong>Learn more about trading <a href=\"https:\/\/www.vtmarkets.com\/forex\/\" target=\"_blank\" rel=\"noopener\" title=\"\">Forex Pairs<\/a> on VT Markets <a href=\"https:\/\/www.vtmarkets.com\/Insights\/\" target=\"_blank\" rel=\"noopener\" title=\"\">here<\/a>.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>USD\/JPY drops below 153 as Takaichi\u2019s victory lifts yen; NFP data ahead keeps traders cautious. | VT Markets<\/p>\n","protected":false},"author":64,"featured_media":17043,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[31],"tags":[10,45],"class_list":["post-41546","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-forex","tag-yen"],"acf":{"acf_article_selection_author":""},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/41546","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\/64"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=41546"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/41546\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/17043"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=41546"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=41546"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=41546"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}