With the U.S. midterm elections approaching, dollar-yen moved little in the upper ¥157 range in the Tokyo market. The rate was ¥157.67–68 as of 9:00 a.m., representing a 12-sen rise in the dollar and decline in the yen from the previous weekend.
In the Tokyo foreign-exchange market on the morning of the 2nd, dollar-yen moved little in the upper ¥157 range with the U.S. midterm elections approaching. As of 9:00 a.m., the rate was ¥157.67–68, a slight rise in the dollar and decline in the yen from around ¥157.55 at the end of the previous weekend.
In overseas markets at the end of the previous week, the pair fell to the ¥156.90 level during European hours against a backdrop of lower U.S. long-term yields. During U.S. hours, comments by Musalem, president of the Federal Reserve Bank of St. Louis, strengthened expectations for persistently high inflation, and the pair rose to the ¥157.60 level around mid-session. Toward the end, it continued to trade in the ¥157.20–60 range.
In the early Tokyo session, dollar buying and yen selling for position adjustments ahead of the U.S. midterm elections pushed the pair higher, with the dollar firming in the ¥157.60 range. Trading has been subdued despite attention to Japanese and U.S. interest-rate trends, amid a sense that market catalysts had been exhausted and uncertainty over the midterm election results.
The euro fell against both the yen and the dollar, with one euro shown at ¥175.91–91 and $1.1156–1.156 against the dollar as of 9:00 a.m.