Overview

• The yen briefly touched roughly ¥153 per dollar before steadying near ¥152.49, leaving it down more than 3% for the week in its worst showing since September 2024.
• Reuters reporting links the slide to expectations that fiscal stimulus will rise under Sanae Takaichi, who is poised to become prime minister.
• Analysts say the October Bank of Japan meeting and Takaichi’s formal confirmation could drive further yen weakness if signals on policy stay dovish.
• The euro has been under strain from France’s political turmoil, with the currency still lower for the week even after a modest bounce and with a new prime minister expected within 48 hours.
• The dollar index held firm as Fed minutes signaled caution on future cuts and a U.S. government shutdown delays data that policymakers typically rely on.