
USD/JPY Rises Ahead of Tomorrow's Early-Morning FOMC
USD/JPY rebounded at the 23.6% Fibonacci level and regained its upward momentum. A December rate hike by the Bank of Japan is now fully expected, yet the yen continues to weaken.
Expert market analysis and insights from Milton Markets professional traders and analysts.
700 analysis articles

USD/JPY rebounded at the 23.6% Fibonacci level and regained its upward momentum. A December rate hike by the Bank of Japan is now fully expected, yet the yen continues to weaken.

ECB board member Schnabel stated that "there is no disagreement that the next move could be a rate hike." Following this comment, EUR/USD briefly surged above 1.167.

The market is simultaneously pricing in a Bank of Japan rate hike and a Federal Reserve rate cut. Whether these expectations will materialize depends on comments from key officials.

Daily Market Report – December 5, 2025

Selling pressure on the U.S. dollar is growing as investors expect rate cuts under the incoming Chairman Hassett. USD/JPY is trading in the mid-155 range and has dropped below the Ichimoku base line.

President Trump plans to announce the next Federal Reserve Chair early next year. Rate-cut expectations are increasing, leading to stronger dollar selling. USD/JPY is showing heavy topside.

Daily Market Report – December 2, 2025

The Nikkei declined, pressured by real estate stocks, while bank stocks held firm. USD/JPY fell toward the 155 level as expectations for a December rate hike grew.

The ECB minutes suggested that policymakers are in no hurry to cut rates. Bitcoin recovered to 90,000 dollars after briefly falling below 80,000.

Hawkish comments from several Bank of Japan officials have increased market expectations for a possible rate hike in December. However, a major trend reversal in USD/JPY still appears unlikely at this stage.

Japan's 10-year yield rises to 1.81%. Fed Governor Waller highlights labor market slowdown, and rate-cut speculation grows. Dollar selling pressure increases across currency markets.

Diplomatic friction between Japan and China is drawing attention, but its impact on the currency market appears limited. In the United States, the release of GDP data is expected to be postponed, leaving the market with insufficient information to assess the economic outlook.

Although diplomatic friction continues between Japan and China, the impact on the market appears limited. Gold is still searching for direction as it forms a triangular consolidation pattern.

Daily Market Report – November 21, 2025

NVIDIA's strong earnings triggered a rebound in the Nikkei 225. However, diplomatic tensions between Japan and China have not fully eased, creating temporary uncertainty. Japan's long-term government bond yield has surged past 1.8%, raising serious concerns about a decline in Japan's creditworthiness.

Bond yields hit a 17-year high as selling pressure continues. Nikkei plunges; bonds fall; yen weakens — a triple decline. Concerns grow over the Kishida administration's expansionary fiscal policy.

U.S. stocks extended their losses, and the positive sentiment in the market has disappeared. Gold is also lacking strong catalysts, and the Federal Reserve's hawkish stance is adding downward pressure.

Fed's December rate-cut expectations decline; U.S. stocks tumble. Takaichi administration announces large-scale economic measures.

The U.S. dollar is weakening across most markets, with USD/JPY being the only major exception due to extreme yen weakness. With the U.S. government reopening, upcoming economic data releases will attract attention.

The market appears to have determined that Japan will not intervene, and the pair has broken through important resistance. The yen weakness trend remains unchanged, testing how far it can rise.
![[London Market] Has Gold Returned to an Uptrend?](/images/market-analysis/20251112XAUUSDDAY.png)
Signs of the U.S. government reopening have emerged, and investors should watch for upcoming U.S. economic data releases. The UK ILO unemployment rate worsened to 5.0%, exceeding expectations, indicating a deteriorating labor market.

Expectations for the end of the U.S. government shutdown have boosted global stock markets. The USD/JPY remains range-bound, and traders are watching for a possible breakout.

Expectations for the end of the U.S. government shutdown have boosted market sentiment. Weak U.S. employment data has encouraged dip-buying in gold. Gold rebounded from the 52EMA, trading around $4,040 after briefly dipping below $4,000.

U.S. stocks tumbled sharply, with the Nasdaq falling below its 10-day moving average. Japan's Nikkei index also dropped, suggesting signs of reversal across global markets. USD/JPY failed to break above 153.45, with 153.00 acting as key support.