In the New York financial market on the 20th, the yen market temporarily declined due to the view that interest rate cuts will be carried out as expected this year in response to the outlook for future interest rates presented by the Federal Reserve Board and Chairman Powell's press conference. In addition to rising to the low 150 yen level to the dollar, the Dow Jones Industrial Average hit a new all-time high.
At the New York foreign exchange market on the 20th, participants at the Fed's meeting said that the outlook for policy interest rates was that interest rates would be cut three times within the year, which was unchanged from the previous outlook, and Chairman Powell's remarks at the press conference As a result, there is a growing view that interest rates will be cut as expected this year.
As a result, there was an awareness of the narrowing of the interest rate differential between Japan and the United States, and there was a movement to buy the yen and sell the dollar, and the yen exchange rate, which had been in the mid-151 yen range before the announcement of the meeting results, temporarily dropped to 150 yen to the dollar. The price has risen to the upper half of the yen level.
Additionally, on the New York stock market, buy orders increased due to expectations for interest rate cuts, and the closing price of the Dow Jones Industrial Average hit a new all-time high of $39,512.13, an increase of $401.37 from the previous day.