The foreign exchange market on the 12th was influenced by remarks from Director-General of the Ministry of Finance Mimura (三村) aimed at restraining the yen's weakness and by comments from a Bank of Japan Policy Board member. Following the US economic data and UK GDP results, USD/JPY is expected to remain volatile in the ¥160 range.
In the market movements on the 12th, Director-General of the Ministry of Finance Mimura (三村) cautioned against the yen's weakness in the upper ¥159 range. In response, the market showed a cautious stance toward movements in the yen.
Bank of Japan Policy Board member Asada (浅田) pointed out that attention should be paid to the impact of rate hikes on the economy and prices, expressing the view that caution will be required regarding the pace of future rate increases.
The UK's preliminary GDP grew 0.7% quarter on quarter, while September industrial production rose 0.3% month on month, both exceeding market expectations. Meanwhile, US initial jobless claims came in above expectations. These data points could affect the outlook for monetary policy.
USD/JPY is expected to show volatility in the ¥160 range, and its movement could change significantly depending on the results of upcoming US economic indicators.