USDJPY plummets to around 145.00 amid Trump’s new tariff wars

The USDJPY rate declined to 145.00 following renewed trade tensions sparked by US President Donald Trump. Today, the market is awaiting key US labour market data. Discover more in our analysis for 4 April 2025.

USDJPY forecast: key trading points

• Market focus: the market is awaiting US employment statistics today, with Nonfarm Payrolls and the unemployment rate scheduled for release
• Current trend: downward momentum
• USDJPY forecast for 4 April 2025: 145.00 and 146.50

Fundamental analysis

The Japanese yen climbed to a six-month high near 145.00 per dollar on Friday after gaining nearly 2% in the previous session as US President Donald Trump’s sweeping tariffs boosted demand for safe-haven assets.

Bank of Japan Governor Kazuo Ueda told parliament on Thursday that the new US tariffs would likely put downward pressure on both the global and Japanese economies, adding that they have increased uncertainty about the economic outlook.

Today’s US session will bring key labour market data, with Nonfarm Payrolls expected to rise by 137 thousand and the unemployment rate forecast to remain at 4.1%. Stronger-than-expected employment data will support the USD, allowing the pair to rebound; otherwise, the decline could continue.

USDJPY technical analysis

On the H4 chart, the USDJPY pair is showing strong bearish momentum, with quotes having dropped to the 145.00 support level. The Alligator indicator confirms the prevailing downtrend. Currently, the pair is trading around 146.00 as the market is awaiting the US labour data.

Today’s USDJPY forecast suggests the pair may continue its descent and retest the 145.00 support level. However, if bulls seize the initiative, the price may rebound towards the 146.50 resistance level.

Summary

The USDJPY pair fell to the area around 145.00 amid new US trade tariffs announced by President Trump. Today, the market will focus on US employment statistics.