USDJPY

October 25,

US political trends focus on.

Yesterday’s dollar yen rebounded in a form that restores the downturn of the previous day. There was also a scene where the yen recovered to the level of 114 yen temporarily due to the rise in US long-term interest rates.

U.S. Republican senators and others were reported to have supported Taylor Stanford’s professor by the next Federal Reserve (FRB) Chairman, and observation of tightening acceleration has increased.

According to “Taylor rule” advocated by Mr. Taylor, the policy interest rate (FF rate) will be appropriate in the latter half of 3% range and there is a possibility that it can be drastically raised from the current 1.00 – 1.25%.

Still, the reason why the dollar / yen can not pass through the first half of the 114 yen range, which is becoming the upper price resistance, will be influenced by three Republican senators being opposed to the tax reform bill of the Trump regime.

For the time being, the dollar / yen exchange rate is expected to be more nervous development with a focus on US political trends such as FRB chairman’s personnel affairs and tax reform bill.