The yen experienced volatile trading after the Bank of Japan (BOJ) raised interest rates by 25 basis points at its policy meeting, aligning with market expectations. The currency settled at 156 per dollar, with investors awaiting BOJ Governor Kazuo Ueda's briefing for further guidance on rate hikes.
Other currencies saw notable movements, with the euro inching up 0.08% to 162.71 yen and the pound gaining 0.17% to 192.99 yen. Japan's core consumer prices rose 3.0% year-on-year in December, the fastest pace in 16 months, adding inflationary pressure.
The Australian and New Zealand dollars surged following U.S. President Donald Trump's softer stance on China tariffs, revealed during a Fox News interview. The Aussie climbed to $0.6321, while the kiwi reached $0.5708, both hitting five-week highs. These currencies, proxies for the Chinese yuan, benefited alongside the yuan itself, which hit its strongest levels since December at 7.2450 per dollar onshore and 7.2519 offshore.
Trump’s comments also triggered a broad decline in the U.S. dollar, which fell 0.23% to 107.89 against a basket of currencies, marking its worst weekly loss in two months. The euro rose 0.24% to $1.0441, and sterling advanced 0.32% to $1.2391, with both on track for strong weekly gains. Market sentiment shifted as investors priced out tariff risk premiums from the dollar.
Meanwhile, Bitcoin climbed 0.51% to $103,648.55, and Ether gained 1.75% to $3,305.51, as Trump announced a cryptocurrency task force to regulate digital assets and explore a national crypto stockpile, signaling a significant policy shift.


South Korea Inflation Edges Up in November as Food and Service Costs Climb
BOJ’s Kazuo Ueda Signals Potential Interest Rate Hike as Economic Outlook Improves
U.S. Soybean Shipments to China Gain Momentum as Trade Tensions Ease
South Korea Posts Stronger-Than-Expected 1.3% Economic Growth in Q3
Dollar Slides to Five-Week Low as Asian Stocks Struggle and Markets Bet on Fed Rate Cut
Dollar Holds Steady as Markets Shift Focus to 2026 Rate Cut Expectations
Gold Prices Steady as Markets Await Key U.S. Data and Expected Fed Rate Cut
IMF Deputy Dan Katz Visits China as Key Economic Review Nears
Trump and Lula Discuss Trade, Sanctions, and Security in “Productive” Phone Call
Japan’s Finance Minister Signals Alignment With BOJ as Rate Hike Speculation Grows
Bullish Start for S&P 500 Sparks Optimism for 2025, Despite Risks
Gold Prices Set to Hit New Highs in 2025 Amid Market Volatility
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data
[Editorial Cartoon] “Tariff Chicken Game” – U.S. and China Speed Toward Economic Catastrophe
RBA Minutes Signal Growing Caution on Future Rate Cuts Amid Persistent Inflation 



