USD/JPY Flat, NFP Decisive
USD/JPY moved flat around 159.60 at the start of Friday's Asian session. Movement was likely limited as trading volume thinned due to the Good Friday holiday, while market attention focused on the release of the US Nonfarm Payrolls (NFP) data for March.
Continued geopolitical tensions in the Middle East were a factor supporting the US dollar. Rising oil prices also strengthened defensive sentiment after US President Donald Trump increased pressure on Iran following a reported military attack that destroyed a bridge near Tehran, while Iran asserted it would not back down despite attacks on civilian infrastructure.
However, the dollar's room for strengthening was not entirely clear due to renewed uncertainty over US tariff policy. The Trump administration is reportedly planning to impose tariffs of up to 100% on certain imported drugs for companies that fail to reach an agreement in the coming months, which could add to market sentiment.
For the yen, potential support emerged from signals of caution from Japanese authorities. The Bank of Japan (BoJ) warned that policy could be adjusted if the yen's weakness persists, while Japanese foreign exchange official Atsushi Mimura stated that "decisive" action may be necessary if speculative movements continue to drive volatility, thus constraining USD/JPY gains. (asd)
Source: Newsmaker.id
