Against a backdrop of higher oil prices, USD/JPY moved toward the ¥159 level, while the previous day's euro weakness and China's growth data also affected the market.
In Monday's (19th) foreign exchange market, euro selling spread amid uncertainty surrounding the situation in France. EUR/JPY fell by about ¥0.60 from the previous Friday, while EUR/USD opened about $0.004 lower. Meanwhile, higher oil prices acted as a dollar-positive factor and supported a rise in long-term US Treasury yields.
In comments by the BOJ governor, he indicated that prices were gradually approaching 2%, while explaining that it was important to reach a phase in which prices stabilize at around the 2% level. He said that the conduct of appropriate monetary policy would influence the formation of long-term interest rates in the market.
China's Q3 GDP rose 4.5% year on year, exceeding market expectations, while cumulative GDP for January-September rose 4.6%, surpassing the lower end of the government's growth target. Trends in semiconductors and AI-related sectors, which are supporting the recovery in exports, drove overall growth. Indicators for retail sales and industrial production also exceeded market expectations.