💹 Dollar Strength / Yen Weakness Remains Intact — Market Focus Turns to U.S. Nonfarm Payrolls
■ USD/JPY: Every Dip Bought, Pushing Toward the Upper 157s
USD/JPY carried its overseas momentum into domestic trading,
with persistent buying lifting the pair to 157.69.
Intervention concerns remain in the background, but their effectiveness is fading:
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Japanese officials’ comments lack novelty
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Full-scale intervention risk is seen as limited unless 158 is decisively broken
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Yen carry demand continues unabated
As a result, yen selling shows no real signs of stopping,
and every pullback is immediately absorbed.
The trend remains clearly upward.
The previous day’s FOMC minutes, which dampened expectations for a December rate cut,
have further reinforced the dollar’s advantage.
Key upside targets now include:
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160.00 (major psychological barrier)
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161.95 (last year’s high)
Market participants are preparing for another phase of yen weakness,
with traders increasingly expecting an upward test.
■ Cross-Yen: Strength So Persistent It Offers No Meaningful Pullbacks
Cross-yen pairs remain firm across the board as yen selling spreads broadly.
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GBP/JPY: Approaching the 206 level
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EUR/JPY: Immediate buybacks below 181.00, rebounding toward 181.60
The depth of demand shows strong intent to continue testing the upside
across major yen crosses.
Yen weakness is now widespread against virtually all major currencies.
■ Key Focus: U.S. Nonfarm Payrolls
The main market driver today will be the U.S. September NFP.
This release has some special considerations:
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The survey week is relatively old
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Even a weak number may not meaningfully boost rate-cut expectations
However, the opposite is highly relevant:
Strong NFP → rate-cut expectations fade → stronger USD → USD/JPY extends gains
With the market already in a USD-buying environment,
a stronger-than-expected result carries clear upside risks for the dollar.
■ Major Currencies: Dollar-Buying Bias Remains Dominant
EUR/USD
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Broad range in the low-1.15s
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A test of 1.14 is possible depending on U.S. data
GBP/USD
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Expected to trade mainly around the mid-1.30s
In both cases, a strong U.S. reading would likely push the pairs
straightforwardly to the downside, reinforcing euro and pound weakness.
