With U.S. employment and ISM data on the horizon, attention is focused on the dollar-yen pair approaching the 160-yen level

With U.S. employment and ISM data on the horizon, attention is focused on the dollar-yen pair approaching the 160-yen mark

03.06.2026

In the previous day’s U.S. currency markets, crude oil prices rose amid renewed tensions in the Middle East, leading to increased demand for the U.S. dollar as a safe-haven asset.The fact that U.S. April JOLTS job openings rose to 7.618 million from the previous month also served as evidence of the resilience of the U.S. labor market, pushing the dollar-yen pair up to the upper 159 yen range.The pair is currently approaching the key 160.00 level, and on the upside, the range from 160.00 to around 160.50 is likely to act as resistance. On the downside, the focus will likely be on whether the pair can hold the range from 159.50 to around 159.00.Today’s schedule includes the U.S. ADP Employment Report, the ISM Non-Manufacturing PMI, and the Beige Book, and we will be watching to see if the U.S. dollar continues to trade at elevated levels.

European currencies came under pressure as market participants focused on expectations of monetary tightening by the ECB, following the release of the eurozone’s preliminary May HICP figure—which rose to 3.2% year-over-year from the previous reading—and as core indicators also showed resilience.Meanwhile, the strengthening U.S. dollar weighed on the market, and the EUR/USD pair traded with limited upside potential in the low 1.1600 range.The EUR/USD pair fluctuated within a range of 1.1630 to 1.1650 before closing in the upper 1.1630s; the immediate focus is on whether it can hold near the 1.1600 level.On the upside, the 1.1660 to 1.1680 range is likely to be watched, while on the downside, the 1.1620 to 1.1600 range is likely to be in focus. Revised service sector PMIs for Europe and the UK are scheduled for release today, and we will be watching to see how the euro and the pound react to these economic indicators.

Today’s economic indicators include the revised French May Services PMI at 16:50, the revised German May Services PMI at 16:55, the revised Eurozone May Services PMI at 17:00,a 17:30 statement by Bank of Japan Governor Kazuo Ueda and the UK May Services PMI (revised), the 18:00 Eurozone April Producer Price Index (PPI),8:00 PM: U.S. MBA Mortgage Applications Index; 9:15 PM: U.S. May ADP Employment Report; 9:30 PM: Canada Q1 Labor Productivity Index; 10:45 PM: U.S. May Services Composite PMI (revised);the U.S. May ISM Non-Manufacturing PMI and April Manufacturing New Orders at 23:00, and the U.S. Federal Reserve Beige Book at 27:00 will be the main focus.Particularly during New York trading hours, the U.S. ADP Employment Report and the ISM Non-Manufacturing PMI are likely to serve as key indicators of the U.S. economy and employment, so we will carefully monitor the reactions of the U.S. dollar, the yen, and the euro.