In the New York market on the morning of the 14th, the yen extended its decline against the dollar, falling to the upper ¥154 range before facing resistance below the ¥155 level in the afternoon and being pushed back to the lower ¥154 range. The euro-yen and euro-dollar rates also moved in the direction of yen appreciation, and volatility may increase this week ahead of the monetary policy meetings in Japan and the US.
At the start of the week in the New York market, the yen extended its decline against the dollar, briefly reaching the upper ¥154 range per dollar. Yen selling and dollar buying appear to have taken the lead in the morning against a backdrop of higher crude oil prices and elevated long-term US interest rates.
In the afternoon, however, selling pressure intensified below the ¥155 level, and the rate fell back to ¥154.06 at 4:00, about 26 sen below the ¥154.32 recorded at 2:00, a level reflecting yen and dollar weakness. During European hours, it did not rise above ¥154.74 and was pushed back into the lower ¥154 range.
As European trading progressed, the euro-yen rate fell into the lower ¥178 range. It was ¥178.04 at 4:00, compared with ¥178.39 at 2:00, as euro weakness and yen strength advanced. The euro-dollar rate moved only slightly between $1.1557 and $1.1560, while against the yen it fluctuated by around ¥1.35.
With the monetary policy meetings in Japan and the US scheduled for this week, volatility in the dollar-yen rate may increase. Whether the rate clearly breaks above ¥155 or enters a corrective phase after falling below ¥154 is expected to be the short-term focus.