{"id":126550,"date":"2026-05-01T14:44:00","date_gmt":"2026-05-01T10:44:00","guid":{"rendered":"https:\/\/noortrends.ae\/en\/?p=126550"},"modified":"2026-05-01T14:03:36","modified_gmt":"2026-05-01T10:03:36","slug":"pound-and-euro-climb-on-yen-intervention-ripples-but-dollars-dip-may-be-short-lived","status":"publish","type":"post","link":"https:\/\/noortrends.ae\/en\/pound-and-euro-climb-on-yen-intervention-ripples-but-dollars-dip-may-be-short-lived\/05\/01\/market-updates\/","title":{"rendered":"Pound and Euro Climb on Yen Intervention Ripples \u2014 But Dollar&#8217;s Dip May Be Short-Lived"},"content":{"rendered":"\n<h1 class=\"wp-block-heading\"><\/h1>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Key Takeaways<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Modest gains for sterling and euro:<\/strong> GBP\/USD rose 0.04% to 1.3606, while EUR\/USD added 0.11% to 1.1744 in thin trading.<\/li>\n\n\n\n<li><strong>Yen intervention echoes 2024:<\/strong> Japan&#8217;s suspected move recalls last year&#8217;s $30 billion-plus operations, which briefly dragged USD\/JPY to 152 before the pair surpassed its prior high just two months later.<\/li>\n\n\n\n<li><strong>Holiday-thin liquidity:<\/strong> Public holidays across Japan and Europe are amplifying volatility, with traders bracing for potential follow-up action next week.<\/li>\n\n\n\n<li><strong>Dollar pullback may not last:<\/strong> ING&#8217;s Turner warned that Iranian hardliners show no signs of softening, and the dip in crude futures could prove fleeting.<\/li>\n\n\n\n<li><strong>US focus today:<\/strong> Markets are watching the April manufacturing ISM and Fed governor Stephen Miran&#8217;s TV appearance \u2014 the first Fed speaker after this week&#8217;s split FOMC decision.<\/li>\n\n\n\n<li><strong>Easing bets capped:<\/strong> Rising inflation expectations and a cautious Fed mean fresh easing won&#8217;t be priced in until oil turns materially lower.<\/li>\n\n\n\n<li><strong>June ECB hike still on:<\/strong> Markets are pricing roughly a 90% probability of a June rate hike, with ING favoring EUR\/USD in a 1.1650-1.1750 range.<\/li>\n\n\n\n<li><strong>BoE setting up June hike:<\/strong> Despite some market reads of Thursday&#8217;s communication as dovish, Turner argues the Bank of England is laying groundwork for a June increase.<\/li>\n<\/ul>\n\n\n\n<p>Sterling and the euro edged higher against the dollar on Friday after suspected Japanese currency intervention sent ripples through thinly traded markets, though analysts cautioned that the greenback&#8217;s retreat was unlikely to last.<\/p>\n\n\n\n<p>As of 04:40 ET (08:40 GMT), GBP\/USD rose 0.04% to 1.3606, while EUR\/USD gained 0.11% to 1.1744.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Echoes of 2024&#8217;s Intervention Playbook<\/h2>\n\n\n\n<p>The current dynamic mirrors 2024, when Japan deployed more than $30 billion across two operations in late April and early May, dragging USD\/JPY to 152 \u2014 though the pair surpassed its previous high just two months later.<\/p>\n\n\n\n<p>With public holidays thinning liquidity across Japan and Europe, investors are bracing for potential follow-up action early next week.<\/p>\n\n\n\n<p>ING&#8217;s Turner cautioned against reading too much into the dollar&#8217;s pullback. Iranian hardliners have shown no signs of conciliation, and the dip in crude futures may prove short-lived.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">US Data and Fed Speakers in Focus<\/h2>\n\n\n\n<p>Friday&#8217;s U.S. focus turns to the April manufacturing ISM reading and a television appearance from Fed governor Stephen Miran \u2014 the first Fed speaker after this week&#8217;s split FOMC decision. Although Miran is expected to strike a dovish tone, Turner noted that rising inflation expectations and a more cautious Fed mean markets will struggle to price in fresh easing until oil prices turn materially lower.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Euro Holds Its Range<\/h2>\n\n\n\n<p>For the euro, ING said Thursday&#8217;s ECB meeting had limited impact on the single currency, with the 10 basis point drop in short-dated EUR swap rates attributed more to oil price moves than to any policy signal.<\/p>\n\n\n\n<p>A June ECB rate hike remains priced at around 90%, and ING favors EUR\/USD holding within a 1.1650-1.1750 range near term.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Sterling Picture Remains Murky<\/h2>\n\n\n\n<p>Sterling&#8217;s outlook remains less clear. Turner argued that the Bank of England is laying the groundwork for a June hike, even as some market participants interpreted Thursday&#8217;s communication as dovish \u2014 a reading he attributed largely to the oil-driven fall in GBP swap rates rather than any genuine shift in guidance.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Key Takeaways Modest gains for sterling and euro: GBP\/USD rose 0.04% to 1.3606, while EUR\/USD added 0.11% to 1.1744 in thin trading. Yen intervention echoes 2024: Japan&#8217;s suspected move recalls last year&#8217;s $30 billion-plus operations, which briefly dragged USD\/JPY to 152 before the pair surpassed its prior high just two months later. Holiday-thin liquidity: Public &hellip;<\/p>\n","protected":false},"author":9,"featured_media":94125,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[6827,49,37,36],"tags":[],"class_list":["post-126550","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-daily-economic-reports","category-economic-reports","category-forex-markets","category-market-updates"],"_links":{"self":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/126550","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/comments?post=126550"}],"version-history":[{"count":1,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/126550\/revisions"}],"predecessor-version":[{"id":126551,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/posts\/126550\/revisions\/126551"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media\/94125"}],"wp:attachment":[{"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/media?parent=126550"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/categories?post=126550"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/noortrends.ae\/en\/wp-json\/wp\/v2\/tags?post=126550"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}