Group 1 - The US dollar against the Japanese yen fell by 0.96%, closing at 147.38 yen after the Japanese parliamentary elections on Sunday, indicating a significant drop [1] - The trading range for the day was between 148.66 and 147.08 yen, showing volatility in the currency market [1] Group 2 - The euro against the Japanese yen decreased by 0.38%, while the British pound against the yen fell by 0.41% [2] - Conversely, the euro against the US dollar increased by 0.60%, and the British pound against the US dollar rose by 0.57%, indicating a stronger performance of the euro and pound against the dollar [2] - The US dollar against the Swiss franc declined by 0.44%, reflecting a broader trend of the dollar's weakness [2]

Group 1 - The Japanese government expresses concern over fluctuations in the foreign exchange market, particularly regarding speculative operations [1] - The government aims to create a stable market environment to ensure the smooth issuance of Japanese government bonds [1]

Group 1 - The Deputy Chief Cabinet Secretary of Japan, Aoki Kazuhiko, expressed concerns regarding fluctuations in the foreign exchange market, particularly related to speculative operations [1]

Group 1 - The US Dollar Index (DXY) has increased by nearly 20 points, currently reported at 98.05 [1] - The Euro against the US Dollar (EUR/USD) has decreased by over 20 points, currently reported at 1.1672 [1]

Core Viewpoint - The Bank of Korea will maintain a cautious stance and monitor the potential for increased volatility in the foreign exchange market [1] Group 1 - The Bank of Korea is focused on the fluctuations in the foreign exchange market and is prepared to respond accordingly [1]

Core Viewpoint - The global financial market is focused on the differing monetary policy stances of key central bank leaders, reflecting an uneven path towards policy normalization despite progress in inflation reduction [1][2]. Group 1: Federal Reserve and European Central Bank - Federal Reserve Chairman Jerome Powell expressed a cautious but slightly dovish tone, indicating that more positive data is needed to confirm a sustained decline in inflation towards the 2% target [2]. - Powell mentioned that if upcoming employment and inflation data continue to improve, the Fed may consider a rate cut as early as September, with market expectations showing a 71.8% probability for this outcome [2][4]. - European Central Bank President Christine Lagarde reiterated a data-driven approach, noting that while goods inflation has slowed, service sector inflation remains stubborn, and there is no preset path for rate cuts [2][4]. Group 2: Bank of England and Bank of Japan - Bank of England Governor Andrew Bailey maintained a cautious hawkish stance, expressing concerns over wage growth and service sector inflation despite a noticeable decline in UK inflation [4][5]. - Bailey's comments led to a slight strengthening of the British pound, as market expectations for a summer rate cut were pushed to the fourth quarter [5]. - Bank of Japan Governor Kazuo Ueda emphasized that while there has been progress in wage growth, aggressive tightening is not yet appropriate, and the BoJ needs to see stable inflation above 2% before taking further action [6][7]. Group 3: Market Reactions and Currency Trends - The overall tone from central bank leaders remains consistent, but increasing divergence in policy paths may lead to volatility in the foreign exchange market [8]. - The US dollar is under pressure due to rising fiscal deficits and trade policy uncertainties, with a potential continuation of this trend if upcoming US employment data is weak [8]. - The Japanese yen remains under pressure due to the BoJ's dovish stance, while the euro and pound are experiencing increased volatility as the ECB and BoE navigate the balance between slowing inflation and wage pressures [8].

Core Viewpoint - The South Korean acting finance minister has indicated that fluctuations in the foreign exchange market have slightly intensified [1] Group 1 - The acting finance minister's comments suggest a growing concern regarding the stability of the foreign exchange market in South Korea [1] - The statement reflects the government's awareness and monitoring of market conditions amid potential economic challenges [1]

Core Viewpoint - The currency market experienced fluctuations with the US dollar showing strength against the Japanese yen while other currencies weakened against the dollar [1] Currency Performance - The US dollar rose by 0.36% against the Japanese yen, reaching 145.26 yen, with a trading range of 144.41 to 145.38 yen during the day [1] - The euro fell by 0.31% against the Japanese yen, while the British pound decreased by 0.76% against the same currency [1] - The euro declined by 0.67% against the US dollar, and the British pound dropped by 1.12% against the dollar [1] - The US dollar appreciated by 0.29% against the Swiss franc [1] Commodity Currencies - The Australian dollar decreased by 0.73% against the US dollar, and the New Zealand dollar fell by 0.76% against the dollar [1] - The US dollar increased by 0.77% against the Canadian dollar [1] Scandinavian and Other Currencies - The Swedish krona fell by 0.74% against the US dollar, while the Norwegian krone decreased by 0.25% [1] - The Danish krone dropped by 0.68% against the US dollar, and the Polish zloty fell by 0.77% [1]

Core Viewpoint - Japanese life insurance companies are reducing their yen appreciation hedging efforts to the lowest level in 14 years, indicating a weakening expectation for the yen to strengthen continuously [1][4]. Group 1: Hedging Trends - As of the end of March, the nine major Japanese life insurance companies decreased their yen bullish hedging ratio from 45.2% six months ago to 44.4% [1]. - The continuous decline in hedging ratios over the past three years suggests that life insurance companies believe the likelihood of the yen returning to historical strength is low [4]. Group 2: Economic Factors - The Bank of Japan's policy interest rate remains 3 percentage points lower than domestic inflation, with the next rate hike likely to be further delayed [1][4]. - The market currently anticipates a 72% probability of a 25 basis point rate hike by the end of the year, down from a 27% probability for a 50 basis point hike earlier in January [4]. Group 3: Foreign Investment and Risks - Life insurance companies have net sold 756 billion yen of foreign bonds over the past six months, marking the seventh consecutive fiscal year of net selling [6]. - There is a potential risk associated with unhedged positions, as a depreciation of foreign currencies could completely offset capital gains and income from overseas assets, prompting life insurance companies to increase foreign exchange hedging urgently [4].

Group 1 - The US Dollar Index (DXY) has decreased by 20 points, currently at 99.23 [1] - The Euro against the US Dollar (EUR/USD) has increased by 26 points, currently at 1.1349 [1] - The British Pound against the US Dollar (GBP/USD) has risen by nearly 40 points, currently at 1.3531 [1]