JPY is closer to its low. Overview for 23.10.2023

The Japanese yen paired with the US dollar is declining again. The current USDJPY exchange rate stands at 149.93.

At the end of last week, the yen managed to correct due to some shift in market sentiments. Investors believed at that moment that the US Federal Reserve would leave the interest rate unchanged at its next meeting and announce its plans to keep it high for a long time.

However, today the situation is again as it was before. Investors are looking for indications that the Ministry of Finance and the central bank are poised to intervene to support the yen, but cannot find any. This means that the USDJPY positions may be even higher.

It is unclear to everyone what happened to the JPY on 3 October, when the US dollar rose to 150.16 and then suddenly dropped. Market participants believed that the authorities did provide financial support for the yen on the stock exchange. However, no official comments were made.

This appears to be either an automatic response of technical signals or the market simply lost its nerve. Whatever the case, the JPY currently runs a high risk.