Japan’s Suzuki: FX stability is important, rapid moves are undesirable

Dhwani Mehta FXStreet

Japanese Finance Minister Shunichi Suzuki reiterated on Tuesday that FX stability is important and that rapid moves are undesirable.

Additional quotes

Want to respect the independence of BOJ, expects BOJ to guide policy appropriately.

Expect BOJ to steer monetary policy appropriately to achieve the 2% inflation target.

Divergence of monetary policy between Japan and the US helps cause gap in interest rates.

Won't comment to what levels we can tolerate on weak yen.

No comment on FX levels.

FX stability is important, rapid moves are undesirable.

Closely watching the impact of forex moves on Japan's economy and financial markets.

The Japanese government will respond appropriately to exchange rates while following the G7 agreement on Currencies and while keeping in close communication with the US and other authorities.

Market reaction

USD/JPY is gaining ground alongside risk appetite, as Bitcoin recaptures $30,000 level and offers some reprieve to the financial market.

The pair is currently trading at 130.35, up 0.08% on the day.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

EUR/USD remains cautious near 1.1760 ahead of US data

EUR/USD trades marginally on the defensive at the end of the week, hovering around the 1.1770-1.1760 band against the backdrop of an equally humble advance in the US Dollar. Meanwhile, investors gear up for the release of key US data later in the day, including PCE and GDP figures.

GBP/USD looks slightly bid near 1.3480, focus on US docket

The British Pound gathers some fresh steam on Friday, prompting GBP/USD to reverse four consecutive days of losses and revisit the 1.3480 zone. Cable’s decent bounce comes on the back of modest gains in the Greenback prior to the release of significant US data.

Gold extends the recovery past $5,000/oz, looks at US data

Gold prices advance for the third straight day on Friday, reaching new multi-day highs just north of the key $5,000 mark per troy ounce. The continuation of the precious metal’s uptick follows steady geopolitical effervescence in the Middle East, while traders eagerly await key US data releases.

US GDP growth expected to slow down significantly in Q4 after stellar Q3

The United States Bureau of Economic Analysis will publish the first preliminary estimate of the fourth-quarter Gross Domestic Product at 13:30 GMT. Analysts forecast the US economy to have expanded at a 3% annualized rate, slowing down from the 4.4% growth posted in the previous quarter.

Week ahead – Markets brace for heightened volatility as event risk dominates

Dollar strength dominates markets as risk appetite remains subdued. A Supreme Court ruling, geopolitics and Fed developments are in focus. Pivotal Nvidia earnings on Wednesday as investors question tech sector weakness.

Official Trump price approaches breakout with mixed signals from traders

Official Trump (TRUMP) is trading at $3.50 at the time of writing, approaching its upper consolidation range. A breakout from this range could open the door for an upside move. On-chain data shows market indecision, with balanced flows between bulls and bears, signaling a lack of clear directional bias.