It appears that the Japanese yen versus the U.S. dollar (USDJPY) pair is facing quite strong pressure lately. The price has fallen to 156.60 as geopolitical tensions in the Middle East are intensifying. On Friday, Fox News reported that the U.S. military carried out additional airstrikes against multiple oil tankers attempting to break through the blockade, while an Iranian spokesperson warned that it would respond “with full force” to any invasion. Situations like this often pull money into traditional safe-haven assets such as the yen, even though the overall market remains relatively calm.

From the economic data side, the U.S. non-farm payrolls for April came in stronger than expected, rising by 115,000 positions compared with the forecast of 62,000. The unemployment rate remained steady at 4.3%, but what’s noteworthy is that average hourly earnings slowed to just 0.2% per month. This indicates that wage pressures are easing. This is a mixed signal: the labor market is still strong, but wage conditions have not improved further.

Looking at the USDJPY yen chart on the four-hour timeframe, the price is at 156.63, staying below the 20-period moving average at 156.77 and the 100-period moving average at 158.39. This suggests a limited outlook. The RSI index is around 44, indicating that bullish momentum is lacking. This looks more like a corrective pullback than a clear recovery.

If the price continues to break below 156.44, it will reveal deeper weakness. But if it holds above this level, the pair would hover within a price range below the major resistance levels at 156.77 and 158.39. For now, geopolitical tensions continue to support the yen, even as the market waits to see what the next economic data will signal about the Fed’s policy path and pressure on the U.S. dollar.