The Yen Puts Life on Hold. Forecast as of 05.05.2025

The Japanese government and the Bank of Japan could have fueled a downtrend in USD/JPY by selling their $1.3 trillion treasury holdings and hiking rates. But Tokyo says it’s not the time. Let’s discuss it and make a trading plan.Major Takeaways Selling treasuries as a negotiation tool is off the table.  The BoJ kept the overnight rate at 0.5%. Derivatives doubt further monetary tightening. USD/JPY's failure to hold on to 144.5 will be a reason to sell.Weekly Fundamental Forecast