In the Tokyo foreign exchange market on the morning of the 27th, the dollar-yen rate held slightly firm around ¥157.50. Yen selling prevailed against a backdrop of higher U.S. share prices, but gains were limited ahead of the FOMC and BoJ meetings.
In the Tokyo market, dollar-yen fell to ¥157.43 in the morning before rising to ¥157.60, remaining within a narrow range. The rebound in U.S. shares eased risk-averse sentiment, and dollar buying and yen selling prevailed. However, aggressive attempts to push the dollar higher were restrained ahead of this week's FOMC and BoJ policy meetings, and trading continued around ¥157.50.
The trading ranges were ¥157.43–¥157.60 for dollar-yen, ¥175.93–¥176.07 for euro-yen and $1.1171–$1.1176 for euro-dollar. As of 5 p.m. on the 26th, dollar-yen was at ¥157.13–¥157.14, representing a stronger dollar and weaker yen by 18 sen from the previous weekend. Movements were limited in the afternoon by lower crude oil prices and interest-rate trends.
Market participants said that risk aversion stemming from share-price instability was capping the upside, while elevated crude oil prices were supporting the downside. The scheduled earnings announcements from AI and semiconductor-related companies and the approaching FOMC were also cited as factors dampening directional momentum. The euro gradually strengthened against the yen, with the 5 p.m. level widening to around ¥176.