USD/JPY holds ground above 150.30, FOMC Minutes eyed

USD/JPY rebounds to 150.32 on the firmer US dollar in Tuesday’s early Asian session.
Finance Minister Shunichi Suzuki said he was more concerned about the negative aspects of a weak currency.
Investors anticipate the first 25 basis points (bps) rate cut in 2024 as early as June.

Lallalit Srijandorn FXStreet

The USD/JPY pair holds above the 150.00 psychological mark during the early Asian trading hours on Tuesday. The pair edges higher on the day due to the renewed US Dollar (USD) demand. Meanwhile, the US Dollar Index (DXY), which tracks six major currencies to gauge the USD’s value, recovers to 104.35. USD/JPY currently trades near 150.32, up 0.12% on the day.

With inflation exceeding its 2% target over a year, the Bank of Japan (BoJ) has signaled that it will end its negative interest rate policy in the coming months. BoJ Governor Kazuo Ueda said on Friday that the central bank will examine whether to maintain various easing measures, including a negative interest rate, when sustained, stable achievement of the price target comes into sight.

The upside of the USD/JPY pair might be capped due to the verbal intervention from the Japanese authorities. Finance Minister Shunichi Suzuki said that while a weak Yen has merits and demerits, he was more concerned about the negative aspects of a weak currency.

On the other hand, Federal Reserve (Fed) Chair Jerome Powell has pushed back against the expectation of interest rate cuts, and investors expect the first 25 basis points (bps) rate cut in 2024 as early as June. The FOMC Minutes on Wednesday might offer some hints about further monetary policy, given recent signs of stubborn inflationary pressures.

Moving on, Japan’s Trade Balance will be due on Wednesday ahead of the FOMC Meeting Minutes. Traders will also focus on the Fed's Bostic and Bowman speech. On Thursday, the preliminary Japanese Jibun Bank PMI for February will be released.

USD/JPY

Overview
Today last price	150.32
Today Daily Change	0.18
Today Daily Change %	0.12
Today daily open	150.14

Trends
Daily SMA20	148.65
Daily SMA50	145.91
Daily SMA100	147.57
Daily SMA200	145.43

Levels
Previous Daily High	150.28
Previous Daily Low	149.88
Previous Weekly High	150.89
Previous Weekly Low	148.93
Previous Monthly High	148.81
Previous Monthly Low	140.81
Daily Fibonacci 38.2%	150.03
Daily Fibonacci 61.8%	150.12
Daily Pivot Point S1	149.92
Daily Pivot Point S2	149.7
Daily Pivot Point S3	149.52
Daily Pivot Point R1	150.32
Daily Pivot Point R2	150.5
Daily Pivot Point R3	150.72

Author

Lallalit Srijandorn

FXStreet

Lallalit Srijandorn is a Parisian at heart. She has lived in France since 2019 and now becomes a digital entrepreneur based in Paris and Bangkok.

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