Dollar/yen is expected to trade within a forecast range of ¥157.800-159.000 during the morning session. The U.S. midterm elections are unlikely to determine the market's direction, and attention is expected to shift to U.S. employment data.
The report was created at 7:30 a.m. on 5 November 2026, with a morning forecast range of ¥157.800 to ¥159.000 for dollar/yen. It is based on the views of Gaitame.com Research Institute.
The previous day's dollar/yen fell approximately 0.2% on a closing-price basis. In the Tokyo market, reports of gains by the opposition in the U.S. midterm election count strengthened the move toward lower stocks and a stronger yen. In overseas markets, however, participants expected stock prices to rise as political uncertainty in the United States eased following the midterm elections.
The midterm elections did not provide a strong enough clue to significantly change dollar/yen's direction or drive it out of its range. Views on a December Federal Reserve rate hike were largely unchanged, and U.S. October employment data from tomorrow onward is expected to become the market's main focus.
Dollar/yen is expected to continue trading without a clear direction today, centered around the ¥158 level. However, if a risk-on move driven by higher stock prices pushes the yen crosses higher, the pair could test the ¥159 level.