USD/JPY declines on soft US jobs data, eyes on Trump

Source Fxstreet
  • USD/JPY retreats from six-day high as U.S. Initial Jobless Claims suggest labor market cooling.
  • Bank of Japan meeting likely to see 25 basis point rate hike, contrasting with Fed's steady stance.
  • Global markets await Trump's Davos comments, with trade policy rhetoric set to influence currencies.

The USD/JPY slides during the North American session after hitting a six-day high of 156.75, as labor market data revealed in the United States (US) came worse than expected. At the time of writing, the pair trades at 156.28, down 0.19%.

Japanese Yen appreciates ahead BoJ’s policy decision

The US Department of Labor revealed that Initial Jobless Claims for the week ended January 18 increased, to 223K, exceeding forecasts of 220K. Labor market strength and rising inflation figures had prompted the Federal Reserve from continuing to easing policy, alongside uncertainty regarding the new fiscal policy applied by the Trump administration.

Even though the Fed is expected to keep rates unchanged at the next week’s meeting, the Bank of Japan (BoJ) most likely raise rates by 25 basis points (bps), which would be the highest since 2007 at the January 23-24 meeting.  Several senior BoJ officials expressed confidence on wage growth momentum.

In the meantime, the lack of economic data in the US and Japan would keep traders eyeing the US President Donald Trump appearance at the Davos World Economic Form (WEF). His trade policy rhetoric has sent waves across global financial makers,

USD/JPY Price Forecast: Technical outlook

The USD/JPY has found stir resistance at the 157.00 figure with bulls unable to crack it since sliding below the latter on January 15. Momentum seems to favor sellers, as spot prices lie beneath the confluence of the Tenkan and Kijun-sen at the 156.64-156.48 range, which if broken, could pave the way for further downside. The next key support will be the January 22 low of 155.33, followed by January 21 swing low of 154.75.

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 Swiss Franc.

  USD EUR GBP JPY CAD AUD NZD CHF
USD   0.17% -0.00% -0.09% -0.04% 0.05% 0.08% 0.27%
EUR -0.17%   -0.18% -0.28% -0.21% -0.12% -0.09% 0.10%
GBP 0.00% 0.18%   -0.10% -0.03% 0.06% 0.09% 0.28%
JPY 0.09% 0.28% 0.10%   0.06% 0.16% 0.15% 0.37%
CAD 0.04% 0.21% 0.03% -0.06%   0.10% 0.12% 0.31%
AUD -0.05% 0.12% -0.06% -0.16% -0.10%   0.03% 0.21%
NZD -0.08% 0.09% -0.09% -0.15% -0.12% -0.03%   0.19%
CHF -0.27% -0.10% -0.28% -0.37% -0.31% -0.21% -0.19%  

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).

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Today’s Market Recap: Three Major US Indexes Plunge, Philadelphia Semiconductor Index Tumbles Over 7%, Oil Falls, Gold and Silver AdvanceWith the U.S. midterm elections approaching, the three major U.S. stock indices and the Philadelphia Semiconductor Index collectively suffered sharp falls last Frida
Author  TradingKey
Yesterday 01: 29
With the U.S. midterm elections approaching, the three major U.S. stock indices and the Philadelphia Semiconductor Index collectively suffered sharp falls last Frida
placeholder
Gold Price Analysis Today | Forex Gold Analysis | XAU/USD Analysis - November 2, 2026Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for November 2, 2026. Read on for the details.
Author  Mitrade
Yesterday 02: 00
Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for November 2, 2026. Read on for the details.
placeholder
Binance replaced 95% of a $6.3bn hole — Bitcoin is trading the plumbing, not the coinBinance resumed withdrawals on November 1 after a record $6.3bn theft. In the first 9.5 hours, users withdrew $4.64bn and deposited $1.01bn, a net outflow of $3.64bn, or 2.1% of assets. Bitcoin fell to 76,173 and is now 78,473. The market is pricing the exchange, not the supply.
Author  Suzie
Yesterday 02: 18
Binance resumed withdrawals on November 1 after a record $6.3bn theft. In the first 9.5 hours, users withdrew $4.64bn and deposited $1.01bn, a net outflow of $3.64bn, or 2.1% of assets. Bitcoin fell to 76,173 and is now 78,473. The market is pricing the exchange, not the supply.
placeholder
Brent slips to $111 as a two-day Hormuz plan lands — the supply-risk premium is the only thing being soldBrent fell 1.95% to $111.20 and WTI to $101.92 after Iran's foreign minister said a Qatar-brokered plan could reopen the Strait of Hormuz in two days. Two tankers were still reported hit by mines. The move is a premium unwind, not a supply change.
Author  Irene Q.
Yesterday 03: 02
Brent fell 1.95% to $111.20 and WTI to $101.92 after Iran's foreign minister said a Qatar-brokered plan could reopen the Strait of Hormuz in two days. Two tankers were still reported hit by mines. The move is a premium unwind, not a supply change.
placeholder
Gold Price Analysis Today | Forex Gold Analysis | XAU/USD Analysis - November 3, 2026Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for November 3, 2026. Read on for the details.
Author  Mitrade
7 hours ago
Get the latest gold price analysis, forex gold insights, and XAU/USD analysis for November 3, 2026. Read on for the details.
Related Instrument
goTop
quote