TOKYO — The U.S. dollar climbed to its highest level in more than two weeks against the yen on Monday, kicking off a busy week dominated by high-stakes trade meetings and central bank decisions. The greenback rose 0.2% to 153.12 yen, its strongest since October 10, as investors braced for a packed agenda of global economic events.
U.S. President Donald Trump began his visit to Japan on Monday and is set to meet the country’s new Prime Minister, Sanae Takaichi, before heading to China for a summit with President Xi Jinping on Thursday. The two leaders are expected to finalize a trade deal framework that negotiators concluded over the weekend.
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While Trump tours Asia, attention will also be on the U.S. Federal Reserve, which is widely anticipated to trim its benchmark interest rate from 4.25% to 4% on Wednesday following lower-than-expected inflation data. Analysts believe the dollar may remain firm as the market has already priced in the rate cuts for both October and December. “Any cautious communication from the Fed would likely be more supportive for the U.S. dollar,” said Mahjabeen Zaman, head of foreign exchange research at ANZ.
Elsewhere in the markets, the euro was steady at $1.1628, while the sterling edged up to $1.3316. The Australian and New Zealand dollars strengthened alongside regional stock gains, while in the crypto market, bitcoin rose 1.4% to $114,921.04 and ether climbed 2.5% to $4,167.08.
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Meanwhile, U.S. Treasury Secretary Scott Bessent announced that trade discussions at the ASEAN summit in Kuala Lumpur had ruled out 100% tariffs on Chinese imports due to start November 1. As global attention turns to the APEC summit in Gyeongju, South Korea, Trump and Xi are expected to finalize key trade terms later this week.