The post USD/JPY edges higher on strong US Dollar, BoJ policy uncertainty appeared on BitcoinEthereumNews.com. USD/JPY trades higher on Thursday, around 157.20 at the time of writing, up  0.20% on the day. The pair has extended its upward momentum throughout the week, supported by a macroeconomic backdrop that continues to favor the US Dollar (USD) over the Japanese Yen (JPY). The Japanese Yen remains under pressure amid growing concerns regarding Japan’s fiscal trajectory. The government recently proposed an additional budget of ¥25 trillion to finance Prime Minister Sanae Takaichi’s stimulus plan, a figure far above last year’s extra budget.  This prospect of increased debt issuance has pushed borrowing costs to multi-decade highs and continues to undermine the JPY. Meanwhile, recent data showed that Japan’s economy contracted in the third quarter for the first time in six quarters, a development that could delay any rate hike by the Bank of Japan (BoJ). Investors are also monitoring repeated warnings from Japanese authorities, who describe recent FX moves as “too rapid and one-sided.” Chief Cabinet Secretary Minoru Kihara stated on Thursday that he is watching markets with a “high sense of urgency.” However, as ING analysts pointed out, Japanese officials typically prefer to intervene after a USD-negative catalyst, which limits the immediate effect of these verbal warnings. On the other side of the pair, the US Dollar remains supported by less dovish expectations toward the Federal Reserve (Fed). Minutes from the October FOMC meeting revealed on Wednesday a clear split among policymakers, with several members opposing another rate cut and warning that easing too quickly could risk persistent inflation. This stance reinforces the US Dollar ahead of the delayed Nonfarm Payrolls (NFP) report for September due later in the day, a release that markets view as critical. According to ING, the US Dollar has “gone too far,” although only a notably weak NFP print could meaningfully reverse recent… The post USD/JPY edges higher on strong US Dollar, BoJ policy uncertainty appeared on BitcoinEthereumNews.com. USD/JPY trades higher on Thursday, around 157.20 at the time of writing, up  0.20% on the day. The pair has extended its upward momentum throughout the week, supported by a macroeconomic backdrop that continues to favor the US Dollar (USD) over the Japanese Yen (JPY). The Japanese Yen remains under pressure amid growing concerns regarding Japan’s fiscal trajectory. The government recently proposed an additional budget of ¥25 trillion to finance Prime Minister Sanae Takaichi’s stimulus plan, a figure far above last year’s extra budget.  This prospect of increased debt issuance has pushed borrowing costs to multi-decade highs and continues to undermine the JPY. Meanwhile, recent data showed that Japan’s economy contracted in the third quarter for the first time in six quarters, a development that could delay any rate hike by the Bank of Japan (BoJ). Investors are also monitoring repeated warnings from Japanese authorities, who describe recent FX moves as “too rapid and one-sided.” Chief Cabinet Secretary Minoru Kihara stated on Thursday that he is watching markets with a “high sense of urgency.” However, as ING analysts pointed out, Japanese officials typically prefer to intervene after a USD-negative catalyst, which limits the immediate effect of these verbal warnings. On the other side of the pair, the US Dollar remains supported by less dovish expectations toward the Federal Reserve (Fed). Minutes from the October FOMC meeting revealed on Wednesday a clear split among policymakers, with several members opposing another rate cut and warning that easing too quickly could risk persistent inflation. This stance reinforces the US Dollar ahead of the delayed Nonfarm Payrolls (NFP) report for September due later in the day, a release that markets view as critical. According to ING, the US Dollar has “gone too far,” although only a notably weak NFP print could meaningfully reverse recent…