Yen exchange rate today
According to Lao Dong, on May 28, the Japanese Yen (JPY) continued to be under downward pressure and traded near its lowest level in more than a week against the USD, as the greenback benefited from positive US economic data and improved global risk sentiment.
Currently, the USD/JPY pair remains around 144.50 as investors wait for the minutes of the FOMC meeting to orient interest rates in the coming time.
Yen is suffering a big impact
According to FXStreet, the Yen is under pressure from concerns that the Japanese government will intervene to control the increase in bond yields. Finance Minister Shunichi Kato has said he will monitor the market closely, while Reuters reported that Tokyo may adjust its bond issuance program, including cutting the amount of super-long bonds.
BoJ Governor Kazuo Ueda said the economic outlook is still uncertain, but the central bank is ready to raise interest rates if inflation continues to expand something reflected in recent data. This helps to somewhat limit the JPY's weakness.
In contrast, the USD maintained its upward momentum thanks to the positive US economic data released on May 27. However, expectations of a two-time Fed rate cut in 2025 and concerns about a US budget deficit especially as President Donald Trump steps up plans for large-scale spending are putting pressure on the USD.
Geopolitical tensions are also a notable factor as Russia increases its attacks in northeastern Ukraine, while the ceasefire plan in Gaza has not yet reached a consensus.
Investors are now waiting for the minutes of the FOMC meeting, followed by US Q1 GDP data, the Tokyo CPI and PCE key factors that could orient the USD/JPY exchange rate this week.
