The USD/JPY pair is experiencing a slight decline, approaching 156.85 during the Asian session on Friday. During the May holidays, Japanese authorities made another intervention in the foreign exchange market. The employment report for April in the US is set to be the focal point this Friday. The USD/JPY pair declines to approximately 156.85 during the Asian session on Friday. The Japanese Yen appreciates against the US Dollar after yet another intervention by Japanese authorities. Markets may exhibit caution later on Friday in anticipation of the US April employment report.
As reported on Friday, citing a source familiar with the matter, that Japan’s officials intervened in the foreign exchange market during the holidays in early May following Japanese yen-buying operations conducted on April 30. A source indicated: “The intervention since the start of May was timed to coincide with the holiday period, when market liquidity was thin.” The possibility of additional interventions may offer some backing to the JPY and serve as a challenge for the pair.
Japan’s leading foreign exchange official, Atsushi Mimura, stated on Thursday that authorities stand ready to take action on all fronts against speculative activities in the foreign exchange market. The upcoming US employment report for April, scheduled for release on Friday, is attracting significant attention. Market consensus anticipates the creation of 62,000 new jobs in April. This represents a significant decline from the 178,000 jobs added in March. Additionally, the Unemployment Rate is expected to hold steady at 4.3%.