USDJPY set to extend rally: yen remains under pressure
The USDJPY pair climbed to 144.76, with the yen facing pressure from the lack of a trade deal with the US. Find more details in our analysis for 17 June 2025.
USDJPY forecast: key trading points
The USDJPY pair continues to rise for the third consecutive day
The Bank of Japan kept interest rates unchanged at 0.5%
There is no progress in Japan-US trade talks so far
USDJPY forecast for 17 June 2025: 145.13 and 145.47
Fundamental analysis
The USDJPY rate rose to 144.76, with a variety of key developments surrounding the Japanese yen.
Firstly, markets reacted to the Bank of Japan's neutral stance on interest rates. On Tuesday, the central bank held the rate steady at 0.5% per annum. In its statement, the BoJ confirmed it will gradually scale back government bond purchases, in line with prior guidance.
Second, Japanese Prime Minister Shigeru Ishiba and US President Donald Trump failed to reach a tariff agreement during the G7 summit in Canada.
Meanwhile, the US dollar continued to strengthen amid rising geopolitical tensions and inflation concerns, increasing demand for safe-haven assets.
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