Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. You could sustain a loss of some or all of your initial investment and should not invest money that you cannot afford to lose. CFDs are complex instruments. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.

USD/JPY down to ¥ 110.250 amid US-China trade talk dispute

The USD/JPY currency pair is down against the backdrop of the US-China trade conflict.

The USD/JPY is down to its lowest point in almost two months at ¥ 110.250. The currency pair is down because of uncertainty about the US-China trade deal impacting Asian currencies.

USD/JPY drops as investors seek stability

The USD/JPY is still in the range of ¥ 110.250 since the end of a rally in April. The US dollar is strong despite the recent Wall Street volatility caused by US president, Donald Trump, tweeting about increasing Chinese tariffs.

The Japanese yen is usually seen as the safe haven currency during market unpredictability and still strengthened 0.34% despite the uncertainty of the US-China trade dispute against the US dollar. The US dollar slightly fell against the Japanese yen during the volatility.

USD/JPY chart

The USD/JPY has fallen within the ¥ 110.250 range.

US dollar to Japanese yen: what to watch for today

The USD/JPY rising or falling could be dependent on the progress of the US-China trade agreement and even Trump’s tweets. Makoto Kikuchi, chief executive of Myojo Asset Management, said that US Presdent, Donald Trump, tweeting about raising Chinese tariffs had an unexpected effect on the Japanese yen during the nation’s long weekend holiday of Golden Week.

‘Anything could have happened during the long holiday but the market had not priced in a potential breakdown of the U.S.-China trade talks. That’s a totally unexpected scenario,’ said Kikuchi.

Forex traders will monitor the USD/JPY pair to see how the US-China trade talks will proceed and if they will continue to influence the currencies.

This information has been prepared by IG, a trading name of IG US LLC. This material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. You should not treat any opinion expressed in this material as a specific inducement to make any investment or follow any strategy, but only as an expression of opinion. This material does not consider your investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. No representation or warranty is given as to the accuracy or completeness of the above information. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. Any research provided should be considered as promotional and was prepared in accordance with CFTC 1.71 and designed to promote the independence of investment research. See our Summary Conflicts Policy, available on our website.

Start trading forex today

Trade the largest and most volatile financial market in the world.

  • Spreads start at just 0.8 pips on EUR/USD
  • Analyze market movements with our essential selection of charts
  • Speculate from a range of platforms, including on mobile

Live prices on the most popular forex markets


Prices above are subject to our website terms and agreements. Prices are indicative only

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading forex provider.

Stay on top of upcoming market-moving events with our customisable economic calendar.