Japanese Yen exchange rate today May 18, 2025: Japanese Yen increases again

USD/JPY exchange rate today May 18, 2025

The USD/JPY pair fell to near 145.63, marking its fourth consecutive session of declines. The decline was not interrupted even after Japan reported lower-than-expected first-quarter GDP, driven by growing confidence that the Bank of Japan (BoJ) will continue to raise interest rates in 2025.

Preliminary GDP figures showed Japan's economy contracted 0.2% in the first quarter of 2025, more than the -0.1% forecast and a reversal from the previous quarter's 0.6% growth. On an annual basis, GDP fell 0.7%, the first quarterly decline in a year. However, the market largely shrugged off the negative reaction as expectations for a tough stance from the BoJ remained strong.

Minutes from the BoJ's April 30-May 1 policy meeting showed many members supported the possibility of further rate hikes if the US-Japan trade situation stabilizes. Negotiations between the two countries are still progressing, with a third round of talks scheduled to take place in Washington next week.

Bank of Japan (BoJ) Deputy Governor Shinichi Uchida reaffirmed the central bank's stance on raising interest rates. A Reuters survey also showed that some economists expect the BoJ to raise rates by 25 basis points before the end of the year. Meanwhile, the US Federal Reserve (Fed) is expected to cut interest rates, especially after US macro data signaled a slowdown.

The US producer price index (PPI) fell 0.5% in April and rose just 2.4% year-on-year. The core PPI rose 3.1%, down from 4% last month, suggesting that consumer inflation may cool in the near term. Retail sales rose just 0.1% in April, much lower than the strong 1.7% increase last month, reflecting a slowdown in consumer spending.

These figures increase the likelihood of a slow growth quarter for the US and create conditions for the Fed to cut interest rates, leading to lower government bond yields and a further weakening of the USD, further pressuring USD/JPY.

However, the easing of US-China trade tensions somewhat limited the yen's rise and helped reduce the decline of the USD/JPY pair.

Domestic Japanese Yen exchange rate today May 18, 2025

* The buying and selling rates of Japanese Yen at the State Bank's Exchange remain unchanged, currently at: 163 VND - 181 VND.

In the "black market", the black market Japanese yen exchange rate as of 4:30 a.m. on May 18, 2025 slightly decreased, trading around 178.20 VND/JPY.

The buying and selling rates of Japanese Yen at commercial banks are as follows:

VIB Bank is buying Japanese Yen cash at the lowest price of 167.74 VND/JPY

VIB Bank is buying Japanese Yen transfers at the lowest price of 169.14 VND/JPY

SHB Bank is buying Japanese Yen cash at the highest price of 178.85 VND/JPY

SHB Bank is buying Japanese Yen transfers at the highest price of 179.85 VND/JPY

VIB Bank is selling Japanese Yen cash at the lowest price of 175.80 VND/JPY

VIB Bank is selling Japanese Yen transfers at the lowest price of 174.80 VND/JPY

SHB Bank is selling Japanese Yen cash at the highest price of 187.85 VND/JPY

NCB Bank is selling Japanese Yen transfers at the highest price of 184.14 VND/JPY