Market analysis: The yen weakened intraday, with three factors supporting its rebound

On January 21st, according to foreign media analysis reports, the yen fell sharply against the dollar by more than 100 points during the Asian session. Trump's tariff remarks triggered a sharp rebound in the dollar, which was a key factor in the intraday decline of the yen. However, the shift in global risk sentiment provided some support for the safe-haven yen. In addition, the firm expectation that the Bank of Japan will raise interest rates at its monetary policy meeting later this week also helped to limit any sharp depreciation of the yen. At the same time, the rising bet on the Federal Reserve to cut interest rates has led to the recent decline in US Treasury yields. The resulting narrowing of the US-Japan interest rate spread has hindered traders from making aggressive bearish bets around the yen, thus limiting the positive movement of the dollar against the yen during the session. < br > < img src = "https://flash-scdn.jin10.com/ebfe0a51-dc8a-40ac-9252-4a7b4cec6afc.png" referrerpolicy = "no-referrer" >