In the New York foreign exchange market on the 26th, there was widespread speculation that the pace of interest rate hikes in the United States would also slow down, triggered by the rate hikes in neighboring Canada being lower than market expectations.
As a result, the movement to sell the dollar and buy back the yen strengthened, and the yen exchange rate temporarily rose to the low 146 yen level to the dollar.
In the New York foreign exchange market on the 26th, the dollar was sold and the yen was bought back, and the yen exchange rate temporarily rose to the low 146 yen level to the dollar.
On this day, the central bank of Canada announced that it would raise the policy rate by 0.5%, and the rate hike was less than expected by the market, triggering the view that the pace of interest rate hikes in the United States will also slow down.
As a result, concerns about the widening interest rate differential between Japan and the United States have eased, leading to moves to sell the dollar and buy back the yen.
A market insider said, ``The recent rapid depreciation of the yen has stopped for the time being, partly because long-term interest rates in the United States are on a downward trend, and partly because there is a deep-rooted sense of caution about market intervention by the government and the Bank of Japan.'' talking