EUR/JPY rises to 173.9, hits over one-year high.
September 02, 2025
The EUR/JPY currency pair reached a new high of 173.9 on September 2, 2025, marking a significant milestone in the forex market. This increase follows a series of positive trends for the euro, driven primarily by the European Central Bank's (ECB) recent interest rate hikes [1].
The euro has been bolstered by the ECB's policy tightening, which has raised the interest rate differential between the euro and the Japanese yen. The Bank of Japan, in contrast, has maintained an extremely low interest rate to combat deflation, making the euro a more attractive investment option for carry traders [1].
This move comes after a period of relative stability for the euro-yen pair, which has been trading within a narrow range for the past year. The recent rise in the EUR/JPY rate is a testament to the growing confidence in the eurozone's economic prospects and the ECB's ability to manage inflation.
The technical indicators provided by TradingView have also shown positive trends, with several key indicators suggesting a bullish outlook for the euro-yen pair. Traders are advised to monitor these indicators closely to make informed decisions about their positions [1].
The forex market, with its high liquidity and 24-hour trading window, offers numerous opportunities for both long-term investors and short-term traders. However, it is essential to assess one's trading behavior and market conditions thoroughly before entering any position. Utilizing tools like TradingView's performance analytics can provide valuable insights into an individual trader's strengths and weaknesses [1].
In conclusion, the EUR/JPY pair's rise to 173.9 is a significant development in the forex market, driven by the ECB's interest rate hikes and the yen's low interest rates. This trend is likely to continue as long as the economic conditions remain favorable for the euro.
References:
[1] https://www.forex.com/en-us/forex-trading/eur-jpy/
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