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Dollar-Yen Outlook: Markets Await U.S.-Iran Talks

Thu Apr 9, 2026 5:31 pm JST Currency

The dollar-yen exchange rate is expected to remain range-bound tonight and into tomorrow ahead of U.S.-Iran peace talks scheduled for the morning of the 11th local time in Islamabad, Pakistan. The anticipated trading range is \158.50 to \159.50 per dollar.

While the U.S. and Iran have agreed to a two-week ceasefire, the Middle East situation remains uncertain, with both sides at odds over whether Lebanon ? where Israel continues its military operations ? falls within the scope of the ceasefire agreement. Safe-haven flows tend to support the dollar in its role as the world's reserve currency, though comments from President Trump could trigger significant market volatility.

Market attention also remains focused on crude oil futures. The minutes from the Federal Reserve's March Federal Open Market Committee (FOMC) meeting, released on the 8th, signaled that "interest rate increases may be necessary to combat inflation." Should expectations grow that elevated oil prices will add to inflationary pressure, this could prompt dollar buying on anticipation of U.S. monetary policy tightening.

Scheduled data releases tonight Japan time include the final reading of U.S. real GDP for the October?December quarter, the U.S. PCE deflator for February, initial jobless claims for the prior week, and U.S. wholesale inventories and sales for February.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.

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