The US dollar rose 0.8% against the yen to 153.80, after being dragged from last week’s high of 154.70 due to the risk of Japanese intervention. On November 6, it reached 154.68, its highest level since July.
A sentiment summary from the Bank of Japan’s October policy meeting showed some members were unsure about when to raise interest rates as well due to political uncertainty.
Interest rate expectations will be crucial for the US dollar as all major central banks ease monetary policy.
The US bond market was closed for a public holiday on Monday, although stocks and futures are open.
Citi expects US interest rates to remain close to current levels in the near term as the market is caught between expectations of major policy changes in 2025 and a near-term data-driven easing cycle.
