BoJ’s Asada, who opposed 2 hikes this year, urges caution on pace as rates near neutral
Asada opposed both of this year's rate rises, in June and September, which took the policy rate to 1.25%, the highest in around three decades. He stated the Bank estimates the neutral interest rate, the level that neither stimulates nor restrains the economy, at roughly…
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On the Japanese yen front, Asada opposed both of this year's rate rises, in June and September, which took the policy rate to 1.25%, the highest in around three decades, according to investingLive. He stated the Bank estimates the neutral interest rate, the level that neither stimulates nor restrains the economy, at roughly modestly above 1% to 2.5%.
Inside the Japanese yen story
Unemployment is roughly 2.5%, base pay moves higher have held up for a third year, and real wages have been positive since the start of 2026. Asada's speech came on the same morning that data revealed Japan's producer prices climbing a faster than expected 7.1% in October.
Why Japanese yen matters for traders
The yen is driven by the gap between Japanese and overseas interest rates and by its role as a safe haven. Changes in Bank of Japan policy or intervention risk can trigger fast moves in USD/JPY.
Because many carry trades are funded in yen, sudden shifts in Japanese policy can ripple through global markets.
Market reaction and data
On the currency side, the latest ECB daily reference rates (2026-11-11) show EUR/USD 1.1127, GBP/USD 1.3307, AUD/USD 0.6859, NZD/USD 0.5583, USD/JPY 159.23, USD/CHF 0.8299, USD/CAD 1.4235, USD/CNY 6.6707. These are reference fixes, not live quotes.
What to watch next for Japanese yen
Watch for Bank of Japan guidance, comments from Japan's finance ministry about currency moves, and US yields, which strongly influence USD/JPY.
Key scheduled releases on the economic calendar:
- GBP GDP m/m on Thu Nov 12, 07:00 UTC, forecast 0.0%, previous 0.1%
- USD Core PPI m/m on Fri Nov 13, 13:30 UTC, forecast 0.3%, previous 0.7%
- USD PPI m/m on Fri Nov 13, 13:30 UTC, forecast 0.4%, previous 1.3%
Follow every update in our Top 10 Forex News Today, read Japan wholesale inflation speeds up to 7.1%, beating forecasts and firming BoJ hike wagers or see all of today's top market news.
FAQ
What is the latest Japanese yen news?
Asada opposed both of this year's rate rises, in June and September, which took the policy rate to 1.25%, the highest in around three decades.
Why is the yen called a safe haven?
Japan is a large creditor nation, so in times of stress Japanese investors bring money home and traders close yen-funded positions, which tends to lift the currency.
Where does this information come from?
This report is based on coverage from investingLive, checked against market data where available. It is a summary for information only and not investment advice.
Risk warning: This article is for information only and is not investment advice. Trading forex, CFDs, stocks and crypto carries a high risk of losing money. Prices move fast – check live quotes before you trade.
