FX.co ★ Japanese Yen Hovers Near 6-Month High

The Japanese yen remained steady around the 146-per-dollar mark on Friday, courtesy of a nearly 2% surge during the previous trading session. This boost was spurred by heightened demand for safe-haven assets, driven by U.S. President Donald Trump's announcement of comprehensive tariffs. The tariffs, set at a baseline of 10% on all imports starting April 5, come with higher rates for approximately 60 countries. The breakdown includes China at 54%, the European Union at 20%, Japan at 24%, India at 27%, and Vietnam at 46%. Markets have reacted by factoring in an anticipated increase in inflation coupled with a slowdown in global growth, leading to widespread selloffs and a spike in interest for safer assets such as the yen. Concurrently, Japan's economic data revealed a smaller-than-expected decline in personal spending for February, indicating some degree of economic resilience. Regarding monetary policy, the Bank of Japan is anticipated to continue with interest rate hikes throughout the year, although uncertainties in global trade and domestic economic conditions add a layer of complexity to the forecast.