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USD/JPY Wobbles Below 154.00
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Action Forex
USD/JPY gets rejected near 154.00 as Fed supports future rate cuts.
USD/JPY opened the day with soft momentum near 153.35 after failing to close above the 154.00 level on Wednesday.
The pullback followed the Fed’s decision to leave interest rates unchanged, while Powell acknowledged the possibility of lower interest rates later in the year should inflation slow.
At the same time, he struck a hawkish tone by emphasizing the resilience of the economy and the strength of the labor market, arguing that interest rates are not yet at restrictive levels.
With upside momentum lacking and technical indicators remaining in bearish territory, downside risks appear to outweigh upside potential, keeping the focus on the 152.00 support area.