- The AUD/JPY receives support since the BOJ is expected to delay interest rates.
- Takata del Boj mentioned the need for a accommodating monetary policy since the price objective of the Central Bank has not been completely achieved.
- Australia’s commercial surplus stood at 2,238m intermensual in May, significantly below the expected 5,091m.
The AUD/JPY maintains its positions per second consecutive session, quoting around 94.60 during the European hours on Thursday. The crossroads gains ground as Japanese (JPY) faces challenges, driven by the caution of the Bank of Japan (BOJ) regarding interest rates. This increases expectations of a delay in interest rates.
The member of the Boj Board, Hajime Takata, said Thursday that Japan is close to achieving the price objective of the Boj, but has not yet achieved it completely, so it needs to maintain a accommodating monetary policy. “It is difficult to predict exactly when the Boj pricing objective will be completely achieved until the impact of US tariffs is clarified,” Takata added.
The member of the Boj Board, Kazuyuki Masu, said Tuesday that the Central Bank should not hurry to raise interest rates, given the various economic risks. In addition, the governor of the Boj, Kazuo Ueda, stressed that any rise in types in the future will be decided evaluating economic data, including salary growth and expectations. Ueda also mentioned that general inflation has remained above 2% for almost three years, and underlying inflation has remained below the target.
In addition, the Japanese Yen faces challenges due to the lack of a final agreement on tariffs between the United States (USA) and Japan. The president of the United States, Donald Trump, said Tuesday that he is considering adding additional tariffs of 30% or 35% to Japan and not extending the self -imposed term of July 9 over reciprocal tariffs currently suspended. Trump expressed his doubts about reaching an agreement with Japan.
The bullish potential of the Aud/JPY crossing could be limited since the Australian dollar (AUD) fights after the publication of key economic data on Thursday. Australia’s commercial surplus was reduced to 2,238m intermensual in May, compared to the 6,091m expected and 4,859m (reviewed from 5,431m) in April. Exports fell an intermensual 2.7%, while imports increased by 3.8% intermensual.
However, the purchasing managers index (PMI) composed of S&P Global Australia rose to 51.6 in June, from 50.5 reported in May. Reading has marked the ninth consecutive month of growth and the fastest rate since March. Meanwhile, the PMI of Services rose to 51.8 from 50.6 above, indicating the fastest expansion rate since May 2024.
Australian dollar Price today
The lower table shows the percentage of change of the Australian dollar (AUD) compared to the main currencies today. Australian dollar was the strongest currency against the Japanese yen.
| USD | EUR | GBP | JPY | CAD | Aud | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.05% | -0.19% | 0.13% | -0.01% | 0.09% | 0.25% | 0.13% | |
| EUR | -0.05% | -0.25% | 0.12% | -0.05% | 0.06% | 0.17% | 0.11% | |
| GBP | 0.19% | 0.25% | 0.31% | 0.20% | 0.29% | 0.40% | 0.15% | |
| JPY | -0.13% | -0.12% | -0.31% | -0.12% | -0.02% | 0.06% | -0.11% | |
| CAD | 0.00% | 0.05% | -0.20% | 0.12% | 0.09% | 0.21% | 0.16% | |
| Aud | -0.09% | -0.06% | -0.29% | 0.02% | -0.09% | -0.05% | -0.13% | |
| NZD | -0.25% | -0.17% | -0.40% | -0.06% | -0.21% | 0.05% | -0.26% | |
| CHF | -0.13% | -0.11% | -0.15% | 0.11% | -0.16% | 0.13% | 0.26% |
The heat map shows the percentage changes of the main currencies. The base currency is selected from the left column, while the contribution currency is selected in the upper row. For example, if you choose the Australian dollar of the left column and move along the horizontal line to the US dollar, the percentage change shown in the box will represent the Aud (base)/USD (quotation).
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
