The yen weakened during the holiday period, with the dollar briefly rising to the low ¥158 range. Long-term interest rates reached a 30-year high, while the market saw the yen weakening again even after a rate check was conducted.
During the 5-day holiday period, the yen weakened in the foreign exchange market, reaching around ¥158.40 per dollar at one point, its weakest level in 3 weeks.
The move was driven in part by US economic data that exceeded market expectations, prompting a broader shift from yen to dollars on expectations that the US would continue raising interest rates.
The Bank of Japan conducted a rate check last Thursday, 18 April, asking bank dealers about trading levels, but its effect was subsequently wiped out.
In the bond market today, rising US interest rates pushed the yield on the benchmark 10-year Japanese government bond to 3.055%, renewing its highest level in 30 years.
Meanwhile, after the 5-day holiday, buying orders concentrated on AI and semiconductor-related stocks, lifting share prices by more than ¥1,200 at one point.