The yen traded at ¥156.96 against the dollar in the New York market, up 0.75% and marking its biggest gain in a month. Funds flowed into safe-haven assets amid rising oil prices and concerns over the profitability of AI investment.
The yen rose 0.75% against the dollar in the New York market, trading at ¥156.96 per dollar. Late trading was expected to mark the yen’s biggest gain in a month, while concerns about intervention increased as the yen approached the ¥160 level.
Oil prices rose approximately 3% to a 5-month high, intensifying concerns about supply disruptions caused by a prolonged Middle East situation. Doubts about the profitability of AI investment also persisted, supporting flows into risk-averse assets alongside instability in equity markets.
The euro was weak amid concerns over France’s fiscal position, while the France-Germany 10-year yield spread widened to 177.7 basis points, its highest level since 2011. Bitcoin fell 4.27% to $81,023, reflecting the dollar’s broad-based strength.
The yen’s sharp appreciation is easing upward pressure on import prices but creating a headwind for exporters’ earnings. Markets are focused on the ¥160 level, and flows into safe-haven assets could continue.