Following the release of U.S. economic indicators, the market may focus on assessing whether the dollar-yen pair will remain in the 161-yen range and whether the euro will rebound.

Following the release of U.S. economic indicators, the market may be assessing whether the dollar-yen pair will remain in the 161-yen range and whether the euro will rebound

29.06.2026 New

On the previous business day, the U.S. dollar rose as the final reading of the University of Michigan’s June Consumer Sentiment Index came in at 49.5, up from 44.8 the previous month, confirming a recovery in consumer sentiment.Meanwhile, although the momentum of dollar buying paused following the release of the U.S. data, the dollar remained in a high-range as investors remained cautious about the situation in the Middle East and anticipated that U.S. interest rates would remain elevated.The USD/JPY pair traded within a range of 161.54 to 161.85 yen in the Tokyo market and was in the low 161.60 yen range as of 17:00.The focus now is on whether the pair can hold around 161.50; on the upside, the 162.00 level is likely to be watched, while on the downside, the 161.00 to 160.50 range is likely to be a key area of interest.With few major U.S. economic indicators scheduled for today, we will be watching to see if the trend of a stronger U.S. dollar and a weaker yen, which has continued since last week, persists.

European currencies held steady against the dollar as the greenback’s upside was somewhat capped following the release of U.S. PCE data.The euro/dollar pair traded within a range of 1.1355 to 1.1388 during the Tokyo session and stood in the mid-1.1380s as of 17:00. However, as the dollar index remains near its highs, the euro/dollar pair has been limited to testing a rebound in the upper 1.13 range.Resistance is likely to be found around 1.1400 to 1.1430, while support is likely to be around 1.1350 to 1.1320; the immediate focus will be on whether the pair can clearly break above 1.1400.Today’s schedule includes the eurozone’s June economic sentiment and consumer confidence final readings, as well as remarks by ECB President Lagarde; we will be watching the euro’s reaction during European trading hours.

Today’s key economic indicators include Japan’s May retail sales and department store/supermarket sales at 08:50, the UK’s May consumer credit balance and M4 money supply at 17:30,at 18:00, the Eurozone’s June Economic Sentiment and Consumer Confidence (final readings), and at 26:30, remarks by European Central Bank (ECB) President Lagarde.Since major economic indicators are limited in the U.S., we will carefully monitor the eurozone economic sentiment indicators and UK financial indicators during European trading hours, as well as the reaction of the euro and pound against the dollar following the ECB President’s remarks late at night.