According to FXStreet, on November 6, the Japanese Yen recovered somewhat after a sharp decline in the previous trading session against the US Dollar, bringing the USD/JPY exchange rate to the mid-153.00 level.
Investors who had previously shorted the yen have become more cautious over concerns that the Japanese government could intervene to support the currency.
Minutes of the Bank of Japan's September meeting showed it plans to raise interest rates gradually but remains cautious about the global economic situation, especially in the United States.
Recent remarks by BoJ Governor Kazuo Ueda with a hawkish stance also reinforced the possibility of a rate hike, helping the Yen recover slightly today.
However, the recovery of the Yen did not last long because the market still doubted the possibility that the BoJ would continue its monetary tightening policy when the political situation in Japan remained complicated, causing the JPY to continue its depreciation.
Meanwhile, the US dollar surged as polls showed Donald Trump leading in key states, sending USD/JPY up nearly 250 points. A possible Trump victory raised expectations of inflationary tariffs, along with concerns about deficit spending, pushing US bond yields higher and making the dollar more attractive compared to the low-yielding yen.
