In Japan’s market on the 28th, the yen fell to the upper ¥157 range against the dollar, while bond selling prevailed. The Nikkei 225 recovered to ¥67,000 for the first time in about 1.5 months, led by AI-related stocks.
In trading on the 28th, the yen fell to the upper ¥157 range against the dollar. The dollar was bought and bonds sold against the backdrop of movements in oil prices and rising US long-term interest rates, while share prices rose, led by AI-related stocks, and the Nikkei 225 recovered to ¥67,000 for the first time in about 1.5 months.
There were concerns that inflation expectations could reaccelerate as a result of higher oil prices, and North Sea Brent crude traded around $106 a barrel. The US 10-year Treasury yield rose to 3.095% in Asian trading hours, at times moving into the 5.2% range. It was slightly higher than the previous weekend’s level.
In the foreign exchange market, comments by Mr. Trump and developments in the Middle East prompted yen selling. A factor supporting the yen was cited as the recognition of the need to correct its decline shared during a telephone call between Finance Minister Katayama Satsuki (片山さつき) and US Treasury Secretary Ben Banner. SBI FX Trade also pointed to the possibility that concerns over intervention could increase.