Is the correction in the yen a turning point?

Is the correction in the yen a turning point?

26.03.2021

Yesterday, the market rebounded from the risk-off sentiment that had prevailed earlier in the week, with stocks, the U.S. dollar, and interest rates all rising; the Dow Jones Industrial Average closed at $32,619, up $200 from the previous day.The VIX (fear index) also fell below 20 again to 19.8, signaling a return to calm. Another positive factor was the release of U.S. initial jobless claims yesterday, which fell by about 97,000 from the previous week to 684,000, reaching a low not seen since the COVID-19 crisis.

In the foreign exchange market, Oceania currencies—which had recently fallen sharply—have rebounded, with the Australian dollar rising against both the yen and the U.S. dollar. The AUD/JPY pair is currently trading around 83.1, while the AUD/USD pair stands at 0.761.

Today’s schedule includes UK retail sales and Turkey’s economic sentiment index and capacity utilization at 4:00 PM, Germany’s IFO Business Climate Index at 6:00 PM, remarks by UK MPC member Saunders at 9:00 PM, US personal income, the US core PCE deflator, and US wholesale inventories (flash estimate) at 9:30 PM,at 11:00 PM, the US University of Michigan Consumer Sentiment Index (final reading), and at 1:45 AM, remarks by UK MPC member Tenreiro. We will carefully assess whether the yen’s appreciation trend will reverse and shift back to a depreciation trend.

Past Market Reports

1. 21.04.2026New

   Will interest grow in the upside potential of the Swiss franc, which has risen against the yen?

2. 20.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

3. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

4. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

5. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

6. 14.04.2026

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

7. 13.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

8. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

9. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

10. 08.04.2026

    Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?