Key events today:

13:30 UTC: USD – Change in Non-Farm Payroll Employment

The Japanese yen (JPY) extends its upward trend for the fourth consecutive day, reaching a nearly two-month high against its American counterpart during the Asian session on Friday. Recent “hawkish” signals from the Bank of Japan (BoJ) have increased market expectations for further interest rate hikes. As a result, the narrowing interest rate differential between the BoJ and other major central banks, including the Federal Reserve (Fed), remains a key factor supporting the lower-yielding Japanese yen.

Additionally, the recent sharp pullback of the U.S. dollar (USD) from a two-year high has pushed the USD/JPY pair below the 151.00 level for the first time since December 10. However, uncertainty surrounding U.S. tariff policy under President Donald Trump is limiting further yen appreciation. Moreover, traders appear hesitant to take strong positions ahead of the U.S. Non-Farm Payrolls (NFP) report, which has helped the currency pair rebound by approximately 70 pips from the daily low.

Recommendations: Trading is primarily recommended with Buy orders from the current price levels.