Overview
- On Wednesday the dollar traded in the low ¥158 range and the euro was about ¥178, with yen selling dominating foreign-exchange trading.
- The Nikkei 225 fell by ¥648.27 to close at ¥70,035.71 after investors locked in profits following a nearly ¥2,400 two-day rally.
- Market participants said Governor Kazuo Ueda’s recent speech did not signal an imminent rate hike, which cut the odds of a near-term BOJ move.
- U.S. markets opened lower, with the Dow down roughly $486 in early trading, underlining how U.S.-Japan interest-rate differences are influencing flows into dollars and stocks.
- Investors now view the BOJ meeting on Oct. 29–30 as the next potential catalyst that could reverse the yen’s weakness and reshape equity valuations.