International Yen exchange rate today (February 18, 2026)
Recorded in the morning trading session of February 18, 2026, on the international foreign exchange market, the Yen (JPY) is fluctuating stably around 153.16 - 153.44 JPY/USD.
Despite pressure from the slight recovery of the US inflation index, the Yen still maintained its position thanks to positive signals from the domestic economy and forecasts of policy interventions from the Bank of Japan (BOJ). Experts believe that the 153 JPY/USD threshold is an important support level reflecting the cautious sentiment of investors in the face of new political developments in Tokyo.
Export boom boosts domestic currency demand
Significant support for the Yen in January came from a sharp increase in export turnover of 16.8% compared to the same period last year, far exceeding all forecasts. Strong demand for goods from China and other Asian countries has helped Japan narrow its trade deficit to 1.15 trillion Yen, lower than the expected 2.14 trillion Yen.
The flow of money back to Japan through export orders is creating a natural support, helping to reduce the weakening momentum of the Yen against the greenback in the short term.
Need to raise interest rates to stabilize the Yen and inflation
In the policy report just released, the International Monetary Fund (IMF) urged the BOJ to continue its monetary tightening roadmap. The IMF assessed that raising the policy interest rate to the highest level in 30 years (0.75%) by the end of last year was appropriate, but recommended that the BOJ should move towards a neutral interest rate level by 2027.
In particular, the IMF warns that the government's consumption tax cut plan could weaken exchange rate stabilization efforts:
"The independence of the BOJ is a key factor in keeping inflation expectations stable. Maintaining fiscal discipline will help reduce risks to the Yen and prevent capital outflows when global bond yields fluctuate.
Currently, investors are holding their breath waiting for further signals from Prime Minister Sanae Takaichi. If excessive fiscal easing plans are implemented, the Yen may face a new sell-off in the international market.
