The yen remains under pressure after disappointing household spending data, while traders await U.S. nonfarm payrolls for further direction.
The USD/JPY pair stabilized near its weekly low, consolidating gains after Japan’s household spending fell more than expected in June. The yen struggled to recover from its lowest levels since May, following a joint U.S.-Japan intervention earlier this year.
Data showed Japan’s household spending dropped 2.5% year-over-year, missing forecasts and reinforcing concerns about weak domestic demand. The pair had rebounded from the 155.25-155.20 range, a key support zone tested after the intervention.
Traders are now focused on upcoming U.S. nonfarm payrolls data, which could influence Federal Reserve rate cut expectations and drive further moves in the pair.