{"id":47838,"date":"2026-02-25T11:35:29","date_gmt":"2026-02-25T11:35:29","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2026\/02\/25\/usd-jpy-forecast-heres-why-the-japanese-yen-is-slumping-today\/"},"modified":"2026-02-25T11:35:29","modified_gmt":"2026-02-25T11:35:29","slug":"usd-jpy-forecast-heres-why-the-japanese-yen-is-slumping-today","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2026\/02\/25\/usd-jpy-forecast-heres-why-the-japanese-yen-is-slumping-today\/","title":{"rendered":"USD\/JPY forecast: Here\u2019s why the Japanese yen is slumping today"},"content":{"rendered":"<div><\/div>\n<p>The USD\/JPY exchange rate continued rising this week, reaching its highest level since February 10 after Sanae Takaichi nominated two dovish central bank officials. It rose to a high 156, much higher than the year-to-date low of 152.28.<\/p>\n<h2 class=\"wp-block-heading\">Sanae Takaichi nominates dovish Bank of Japan officials<\/h2>\n<p>The Japanese yen has retreated in the past few weeks, even as the <a href=\"https:\/\/invezz.com\/news\/2026\/02\/25\/usd-zar-forecast-south-african-rand-rallies-amid-dollar-debasement\/\">US dollar debasement<\/a> continued. This rally happened after Sanae Takaichi nominated Ayano Sato and Toichiro Asada to replace Asahi Noguchi and Junko Nakagawa.<\/p>\n<p>The two officials are widely seen as being highly dovish, a move that may seek to counter the moderately hawkish governor, who has delivered several interest rate hikes.&nbsp;<\/p>\n<p>It recently hiked interest rates to 0.75%, the highest level in over 25 years. Most analysts believe that the bank will hike interest rates in the coming weeks.<\/p>\n<p>The new nominations came a week after Takaichi met with Governor Kazuo Ueda and pressed against interest rate hikes.<\/p>\n<p>The next major catalyst for the USD\/JPY exchange rate will be the upcoming Japanese inflation, retail sales, and industrial production numbers.<\/p>\n<p>Economists polled by Reuters expect the upcoming report to show that the Tokyo consumer price index (CPI) rose 1.5% in February. Core inflation, which excludes the volatile food and energy prices, rose 1.7% in January from 2.0%.<\/p>\n<p>More data shows that Japan&#8217;s industrial production rose 5.3% in January after falling by 0.1% in December. Also, retail sales are expected to come in at minus 0.4%.<\/p>\n<p>Japan\u2019s economy has done relatively well in the past few months, helped by the ongoing demand for semiconductors amid the ongoing artificial intelligence (AI) boom.<\/p>\n<p>The USD\/JPY exchange rate also jumped after the <a href=\"https:\/\/invezz.com\/news\/2026\/02\/20\/supreme-court-overturns-trump-tariffs-175b-in-refunds-loom\/\">Supreme Court ruled against Donald Trump&#8217;s tariffs<\/a> on Friday.&nbsp; Trump has now implemented a 10% global tariff using Section 122 rules that allow the president to impose tariffs that last for 150 days.<\/p>\n<h2 class=\"wp-block-heading\">USD\/JPY technical analysis&nbsp;<\/h2>\n<figure class=\"wp-block-image size-full\"><figcaption class=\"wp-element-caption\"><em>USDJPY chart | Source: <\/em><a href=\"https:\/\/www.tradingview.com\/symbols\/USDJPY\/?exchange=OANDA\"><em>TradingView<\/em><\/a><\/figcaption><\/figure>\n<p>The daily timeframe chart shows that the USD to JPY exchange rate has done well in the past few months, moving from a low of 139.94 in April last year to a high of 159 earlier this year. It then retreated to a low of 152.28 on January 27.<\/p>\n<p>A closer look shows that the pair formed a double-bottom pattern at 152.28 and a neckline at 157. A double-bottom is one of the most common bullish reversal sign in technical analysis, which explains why it has rebounded in the past few days.<\/p>\n<p>The pair is now approaching the Major S&amp;R pivot point of the Murrey Math Lines tool. It has also moved above the 50-day and 100-day Exponential Moving Averages (EMA) and the Supertrend indicator.<\/p>\n<p>Therefore, the most likely USD\/JPY forecast is bullish, with the next key target being at 159.63, its highest level in January this year. A move above that level will point to more gains, with the next key target being the ultimate resistance level at 162.50.<\/p>\n<p>The post <a href=\"https:\/\/invezz.com\/news\/2026\/02\/25\/usd-jpy-forecast-heres-why-the-japanese-yen-is-slumping-today\/\">USD\/JPY forecast: Here\u2019s why the Japanese yen is slumping today<\/a> appeared first on <a href=\"https:\/\/invezz.com\">Invezz<\/a><\/p>\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The USD\/JPY exchange rate continued rising this week, reaching its highest level since February 10 after Sanae Takaichi nominated two dovish central bank officials. It rose to a high 156, much higher than the year-to-date low of 152.28. Sanae Takaichi nominates dovish Bank of Japan officials The Japanese yen has retreated in the past few <\/p>\n","protected":false},"author":1,"featured_media":47839,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":{"0":"post-47838","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-world"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/47838","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=47838"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/47838\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/47839"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=47838"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=47838"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=47838"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}