Important events today:

09.01 13:30 UTC: USD – Unemployment Rate

USD/JPY is trading around 157.20. The demand for the dollar is supported by expectations of the US employment report and the dynamics of Treasury yields: the market is assessing how strongly the economy closed 2025 and how this will influence the Federal Reserve’s interest rate decisions.

The Japanese yen remains relatively weak due to uncertainty surrounding the Bank of Japan’s next steps and ongoing discussions on budget issues, which are impacting investor sentiment. Additionally, external factors are important for the yen: when global risks are perceived more calmly, demand for safe-haven assets decreases, and pressure on the yen may increase.

If US employment data comes in stronger than expected, the likelihood of maintaining higher rates for a longer period increases, which typically supports the dollar against the yen. In this scenario, buying USD/JPY is preferred, with a moderate stop below the current fluctuations and a target above the current levels.

Recommendation: BUY 157.20, SL 156.90, TP 158.10