Dollar-yen struggled to rise around the ¥157.50 level in the Tokyo market, with trading subdued toward noon. With long-term U.S. Treasury yields lower and oil prices firm, the lack of catalysts capped the pair’s upside.
In the Tokyo market on the morning of the 22nd, dollar-yen rose slightly from ¥157.29 to ¥157.56 before losing momentum toward noon. With Tokyo markets closed for a holiday and few catalysts available, the pair’s upside was limited. Long-term U.S. Treasury yields were lower and oil prices remained firm, while concerns about inflationary pressures made it difficult for the dollar to decline.
The day’s trading ranges were ¥157.29–¥157.56 for dollar-yen, ¥180.34–¥180.63 for euro-yen, and 1.1462–1.1471 for euro-dollar. The lack of catalysts due to the market holiday was cited as a factor suppressing market activity.
Comments by New Zealand Finance Minister Willis were reported, indicating the view that policymakers face a period requiring difficult monetary policy decisions.