The Japanese Yen (JPY) remains under pressure, marking its sixth consecutive day of decline against the U.S. Dollar, as markets anticipate the Bank of Japan (BoJ) will keep interest rates steady this week. Elevated U.S. Treasury yields, supported by expectations of a cautious Federal Reserve (Fed) rate policy, continue to divert flows from the lower-yielding JPY. Better-than-expected Japanese economic data, including core machinery orders and improved PMI readings, provided limited support as skepticism lingers over the BoJ’s commitment to tighter monetary policy.
Meanwhile, geopolitical risks and concerns over U.S. President-elect Donald Trump’s tariff plans offer some safe-haven demand for the Yen. Traders are also cautious ahead of key central bank meetings from the Fed and BoJ, which are expected to shape near-term USD/JPY trends. Technically, the USD/JPY pair shows an upward bias, with key resistance around 154.55-155.00. However, a break below strong support at 153.00 or the 200-day SMA near 152.00 could signal a bearish shift, with potential declines toward the 150.00 mark.


