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USD/JPY falls to near 155.00 as Yen capitalizes on upbeat Tankan Q4 survey data

  • USD/JPY declines to near the weekly low around 155.00 as the Japanese Yen outperforms across the board.
  • The BoJ is expected to raise interest rates by 25 bps to 0.75% on Friday.
  • The US Dollar trades lower ahead of the US NFP data on Tuesday.

The USD/JPY trades 0.5% lower to near its weekly low around 155.00 during the European trading session on Monday. The pair is under pressure as the Japanese Yen (JPY) outperforms its peers, following the release of the Japan’s Q4 Tankan Manufacturing Index and Outlook data.

Japanese Yen Price Today

The table below shows the percentage change of Japanese Yen (JPY) against listed major currencies today. Japanese Yen was the strongest against the New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.06%-0.13%-0.57%0.00%0.02%0.16%-0.03%
EUR0.06%-0.07%-0.53%0.07%0.10%0.23%0.03%
GBP0.13%0.07%-0.44%0.16%0.15%0.29%0.09%
JPY0.57%0.53%0.44%0.60%0.61%0.75%0.55%
CAD-0.01%-0.07%-0.16%-0.60%0.02%0.15%-0.04%
AUD-0.02%-0.10%-0.15%-0.61%-0.02%0.14%-0.08%
NZD-0.16%-0.23%-0.29%-0.75%-0.15%-0.14%-0.20%
CHF0.03%-0.03%-0.09%-0.55%0.04%0.08%0.20%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Japanese Yen from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent JPY (base)/USD (quote).

Earlier in the day, Japan’ Tankan survey showed that large companies expect the outlook of the manufacturing sector is upbeat. Tankan Large Manufacturing Outlook improved to 15, as expected, from 14 in the third quarter. This is the highest level seen in four years.

Upbeat business sentiment data has reinforced expectations that the Bank of Japan (BoJ) will raise interest rates in the policy meeting on Friday. The BoJ is almost certain to raise interest rates by 25 basis points (bps) to 0.75%.

In the monetary policy, investors will also focus on cues about how much the BoJ will raise interest rates in its ongoing monetary tightening campaign.

Meanwhile, the US Dollar (USD) trades lower as investors ponder the Federal Reserve’s (Fed) monetary policy outlook for 2026.

According to the CME FedWatch tool, there is a 64.3% chance that the Fed will cut interest rates at least two times by the end of 2026. While the Fed’s dot plot showed that policymakers see Federal Fund Rate falling to 3.4% by 2026, indicating one more interest rate cut from current levels of 3.50%-3.75%.

Going forward, the major trigger for the US Dollar will be the United States (US) Nonfarm Payrolls (NFP) data for November, which will be published on Tuesday.

Economic Indicator

Tankan Large Manufacturing Index

The Tankan Large Manufacturing Index released by the Bank of Japan presents overall business conditions of the large manufacturing companies in Japan. It is an indicator of the Japanese economy as Japan heavily relies on the manufacturing industry that leads growth for the export-oriented economy. A result above the 0 level is seen as positive (or bullish) for the JPY, whereas a result below 0 is seen as negative (or bearish).

Read more.

Last release: Sun Dec 14, 2025 23:50

Frequency: Quarterly

Actual: 15

Consensus: 15

Previous: 14

Source: Bank of Japan

Author

Sagar Dua

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

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