June US JOLTS data shows job openings fell to 7.359 million, below the 7.4 million forecast, easing Fed rate hike expectations.
The USD/JPY pair retreated near 157.40 in Tuesday’s session as softer US labor demand data weighed on the dollar. Job openings dropped to 7.359 million in June, down from a revised 7.537 million in May and below the 7.4 million consensus, signaling cooling labor market conditions.
The decline in vacancies contrasts with Monday’s strong ISM Manufacturing PMI, complicating the outlook for Federal Reserve policy. Lower US Treasury yields narrowed the interest rate gap with Japan, supporting the yen. Energy price declines also aided the currency, given Japan’s status as a net energy importer.
Investors await the Bank of Japan’s June meeting minutes, though the release predates recent policy shifts and may offer limited market impact.