US crude oil futures surged in the New York market, bringing USD/JPY close to the ¥158 level. The dollar's rise driven by higher oil prices is expected to continue in the Tokyo market, although concerns over statements against yen weakness remain.
In the US market on the 12th, USD/JPY rose against the backdrop of higher crude oil futures, reaching ¥158.75. Meanwhile, the euro fell to around $1.1153 against the dollar, while EUR/JPY declined to ¥176.93.
USD/JPY is expected to extend its gains in today's Tokyo market against the backdrop of higher oil prices, although attention is also warranted regarding statements by Japanese monetary authorities against yen weakness and the possibility of intervention.
The September corporate goods price index, scheduled for release at 08:50, is expected to rise 0.5% month on month and 7.6% year on year. The import price index is forecast to fall 3.0% month on month and rise 24.8% year on year.
The market indicator reflecting expectations for Bank of Japan policy puts the probability of a rate hike at just under 10% at the October BOJ meeting and in the 70% range in December. USD/JPY could break above the upper boundary of the daily Ichimoku cloud and approach the ¥159 level, and attention will also need to be paid to the impact of future statements against yen weakness.