Forex

USD/JPY is cautious as markets monitor intervention risks following its best week in almost a year after the Fed outhawked its Japanese counterpart.

FX intervention and shifting monetary policy dynamics push the pair lower, but now is the moment of truth for its path as the BoJ and the Fed decide on rates.

The yen’s rally looks driven more by a hawkish repricing of the BOJ than fresh intervention, though intervention risk remains firmly in play.

The pair declines after the central bank of New Zealand raised rates for a second straight time but offered dovish guidance.

USD/KRW slips as the BoK delivers back-to-back hikes to contain inflation driven by the energy shock and the AI boom.

The Australian central bank kept rates at 4.35% and lowered its inflation forecasts, weighing on the pair, but does not see inflation returning to the target range this year and kept the door open to more hikes.

USD/JPY extends its decline after the two countries took joint action to stem yen weakness and volatility, but structural tailwinds persist.

USDOLLAR’s next move depends on whether higher rate expectations and safe-haven demand outweigh doubts about Fed credibility and the growth risks from Hormuz.

Burnham may lift sterling sentiment, but fiscal credibility, relative rates and global risks will determine GBPUSD’s direction.

Dollar strength pushes the pair close to new multi-year highs, but rising South Korean inflation strengthening the case for BoK hikes could lead to pullbacks.