The yen weakened in Asian trading Monday, with the dollar near ¥157.85 after the Bank of Japan (BoJ) kept its overnight rate guideline around 1.25% and a board member pressed for a faster increase.
The dollar's session high reached ¥157.844, while Makkler market data showed it at ¥157.816 at 9 p.m. ET Sunday (02:00 UTC Monday), up 0.19%. FXStreet later put the pair near ¥157.85 at 9:04 p.m. ET Sunday (02:04 UTC Monday).
On Oct. 30, the BoJ voted eight to one to keep its guideline for the uncollateralized overnight call rate around 1.25%. BoJ board member Hajime Takata cast the lone dissent, backing a move to about 1.5% and urging the bank to reach a neutral rate sooner. In September, the bank kept further increases on the table, saying it would assess when and how quickly to act.
The Federal Reserve held its target range at 3.75% to 4.00% on Oct. 28, above Japan's guideline. Reuters has previously cited the U.S.-Japan rate gap as a source of pressure on the yen.
The BoJ's October Outlook describes uneven effects from yen depreciation. Households may lose purchasing power and smaller companies may face higher import costs, while global firms can see profits rise.
FXStreet reported that Finance Minister Satsuki Katayama said Japan would act against disorderly currency movements and that a joint foreign-exchange statement with the United States remained in force. The remarks were not confirmed in an official transcript. A joint U.S.-Japan finance ministers' statement issued in 2025 says intervention is meant for periods of excessive volatility or disorderly exchange-rate moves. Japan's Finance Ministry said it bought yen in coordination with the U.S. Treasury on July 31, 2026, and would not rule out further joint intervention.
The BoJ scheduled the full October Outlook for midnight ET Monday, Nov. 2 (05:00 UTC). The U.S. October jobs report is scheduled for Nov. 6 at 8:30 a.m. ET; the next Federal Reserve meeting is Dec. 8-9, followed by the BoJ meeting on Dec. 17-18.
