FX.co ★ Japanese Yen Weakens Ahead of BOJ Policy Decision

The Japanese yen declined to approximately 143.1 per dollar on Thursday, marking its third consecutive loss session, as investors anticipate the forthcoming monetary policy decision from the Bank of Japan. The central bank is broadly expected to maintain its policy rate at 0.5%, as it evaluates the possible economic impact of the new US tariffs, especially on Japan’s heavily export-oriented economy. Contributing further to the yen's weakening, US President Donald Trump expressed on Wednesday progress in trade negotiations with Japan, which increased the dollar's appeal. Additionally, he mentioned potential trade agreements with India and South Korea and expressed optimism about reaching a deal with China.