All eyes are on whether the resurgent yen-buying trend will continue during U.S. trading hours

All eyes are on whether the resurgent yen-buying trend will continue during U.S. trading hours

01.11.2022

Yesterday, the U.S. dollar showed strength against both the yen and the euro, while the euro/dollar pair fell for the third consecutive day. The euro/dollar dropped by just over 90 pips from 0.9965 to 0.9873, breaking below the 200-period SMA on the hourly chart.During today’s Asian session, the pair attempted a rebound but was capped by the 200-period SMA, returning to a downward trend. If the euro continues to face resistance during the U.S. session, the decline could extend toward the retest level around 0.9834, so traders should remain cautious about further downside.

European currencies came under selling pressure as the Eurozone’s October consumer price index, released yesterday, came in at 10.7% year-on-year, indicating that the CPI had not yet peaked. The euro/yen pair traded in a range-bound pattern, fluctuating wildly between 146.617 and 147.745. Since the euro/yen pair is facing significantly heavier resistance compared to the pound/yen pair—another European currency pair—investors should be cautious of potential declines during European trading hours.

Today’s schedule includes the UK Nationwide House Price Index, Turkey’s Manufacturing PMI, and Germany’s Import Price Index at 16:00 CET; remarks by RBA Governor Lowe at 17:20 CET; Switzerland’s Manufacturing PMI at 17:30 CET; and the UK Manufacturing PMI at 18:30 CET. During U.S. trading hours, the U.S. Manufacturing PMI is scheduled for 22:45 CET,at 11:00 PM, the U.S. ISM Manufacturing Index, U.S. Construction Spending, and U.S. JOLTS Survey, and at 5:00 AM, the release of the NZ RBNZ Financial Stability Report. We will be watching to see if the recent trend of yen buying continues into U.S. trading hours.

Past Market Reports

1. 22.04.2026New

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

2. 21.04.2026New

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

3. 20.04.2026New

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

4. 17.04.2026New

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

5. 16.04.2026New

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

6. 15.04.2026

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

7. 14.04.2026

   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. 13.04.2026

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

9. 10.04.2026

   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. 09.04.2026

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