Overview
- EUR/JPY briefly traded in the 180s for the first time since the euro’s 1999 launch, with Tokyo also touching the level intraday.
- USD/JPY hovered in the mid‑¥155s, including late quotes around ¥155.70, underscoring continued yen weakness.
- Tokyo saw simultaneous selling of the currency, government bonds, and equities, and the Nikkei 225 fell by about 1,600 points to close near 48,703.
- Market participants cited reports that the Takaichi administration is preparing an economic package well above ¥17 trillion, reinforcing concerns over fiscal deterioration.
- Analysts also pointed to a persistent euro–yen rate gap, with the ECB holding policy rates since July, as a factor supporting euro strength against the yen.