JPY is on pause. Overview for 24.01.2024

The Japanese yen, paired with the US dollar, is currently on hold, awaiting clear signals. The current USDJPY exchange rate stands at 147.83.

The yen found some support as investors carefully analysed the Bank of Japan's meeting results. Kazuo Ueda, the governor of the regulator, had a somewhat hawkish stance on interest rates, or the market would like to believe so.

Morning statistics from Japan were mixed. In December, imports declined by 6.8% year-over-year, while a 5.3% decrease was expected. Exports topped expectations by 9.8% y/y, surpassing the forecasted 9.1%.

The trade balance in December was favourable, sending a positive signal.

Trading is likely active in part due to the weak yen.