Yen gains as BOJ set to hold rates, Fed rate cut in focus

The yen climbed to around 147.57 per dollar on Monday, recovering some losses from last week as market participants focused on the Bank of Japan’s policy meeting. Light trading is anticipated as Japan observes a national holiday, keeping volumes muted. Meanwhile, BOJ is widely expected to hold interest rates at 0.5%, amid concerns over weak export performance, slow inflation, and global risks like the impact of US tariffs. Attention is also on the Federal Reserve, which is anticipated to cut rates by 25 basis points this week in response to soft labor market data and easing inflation pressures.