Yen weakens past 148 as US data and BOJ wage outlook collide

The Japanese yen slipped beyond 148 per dollar on Tuesday, dragged lower by a modest rebound in the US dollar ahead of key labor market data. Traders are watching Friday’s payrolls and wage figures closely, with the outcomes likely to steer both the Fed’s and BOJ’s policy paths. Despite Governor Kazuo Ueda’s recent signal that Japan’s tight labor market could fuel further wage gains, markets remain split on the pace and timing of BOJ rate hikes. Sticky inflation and brighter economic prospects have strengthened bets for a move before year-end, though tariff-related uncertainties add to caution.