On Friday of last week, the USDJPY declined after the Bank of Japan announced a rate hike to 0.50%, reaching a low of 154.84 around GMT 05:30.

When BOJ Governor Kazuo Ueda did not mention specific timing for additional rate hikes during his press conference at GMT 06:30, the yen's strengthening paused. The price reached a high of 156.57 around GMT 13:00 before stabilizing, and trading for the week closed at 155.92.

Today the USDJPY saw yen buying due to risk aversion after President Trump announced a 25% tariff on Colombia, with plans to raise it to 50% within a week. The price reached a low of 155.28 around GMT 01:00. As of GMT 04:00, it is trading in the upper-155 yen range.

Looking at the 1-hour chart of the USDJPY (as of GMT 04:00, January 27), the price has been moving significantly up and down within a range of 156.75 to the upper 154 range, showing a continued lack of clear direction.

(20-period Bollinger Band, showing ±1 and ±2 standard deviations)

The main economic indicators for today are as follows:

• GMT 15:00 U.S. December New home sales