Will the dollar-yen pair test the upper end of the 162-yen range ahead of the U.S. CPI release?

Will the dollar-yen pair test the upper end of the 162-yen range ahead of the U.S. CPI release?

14.07.2026 New

In the U.S. currency market the previous day, crude oil prices rose amid renewed tensions in the Middle East, and the U.S. dollar held steady on concerns that inflation might accelerate again. Ahead of the release of the U.S. Consumer Price Index (CPI) for June, a wait-and-see attitude regarding the outlook for U.S. interest rates also intensified.The USD/JPY pair traded within a range of 161.84 to 162.36 yen in the Tokyo session, settling near 162.10 yen at 17:00. Since then, the yen has remained under upward pressure, with USD/JPY trading in the low to mid-162 yen range.On the upside, the 162.50 to 163.00 range is likely to be a key focus, while on the downside, the 162.00 to 161.50 range is likely to be watched closely. With the U.S. June CPI and Fed Chair Warsh’s congressional testimony scheduled for today, we will be looking to gauge the upside potential for the U.S. dollar.

European currencies were weighed down by the strengthening U.S. dollar, and the euro-dollar pair was pushed down to the upper 1.13 range at one point. In the Tokyo market the previous day, it traded within a range of 1.1387 to 1.1425, settling in the mid-1.1420 range as of 5:00 p.m.With the U.S. CPI report on the horizon, aggressive euro buying is unlikely, and the focus is likely to be on whether the pair can hold around 1.1400 for now. On the upside, levels around 1.1430 to 1.1450 are likely to be watched, while on the downside, levels around 1.1380 to 1.1350 are likely to be in focus.Today’s schedule includes Germany’s June Wholesale Price Index (WPI), France’s June Consumer Price Index (CPI, revised), and remarks by Bank of England (BOE) Governor Bailey; we will be watching to see if the European currency’s rebound continues.

Today’s economic indicators include Japan’s final May industrial production and capacity utilization figures at 1:30 p.m., Germany’s June Wholesale Price Index (WPI) at 3:00 p.m., Switzerland’s June producer import prices at 3:30 p.m., remarks by Bank of England (BOE) Governor Bailey at 5:45 p.m.,the U.S. June Consumer Price Index (CPI) and Core CPI at 21:30, Fed Chair Warsh’s congressional testimony at 23:00, and U.S. May Foreign Investment in U.S. Securities at 29:00.During New York trading hours in particular, the U.S. CPI and the Fed Chair’s congressional testimony are likely to serve as key catalysts, so we will carefully monitor the reactions of the U.S. dollar, the yen, the euro, and the pound.