The Japanese yen strengthened against other major currencies in the Asian session on Friday, as speculation rose that the Japanese authorities have intervened the currency market to prop up the currency.

Traders remain cautious ahead of the crucial U.S. monthly jobs report later in the day for cues on the outlook for interest rates.

In economic news, data released by the Ministry of Internal Affairs and Communications showed that Japan's household spending logged an unexpected decline in May as higher prices weighed on consumption. Household spending declined 1.8 percent on a yearly basis, confounding expectations for an increase of 0.2 percent. Spending had advanced 0.5 percent in April, which was the first growth in 14 months.

Month-on-month, household spending dropped 0.3 percent, sharper than the 1.2 percent decrease in April. Economists were expecting a 0.5 percent rise.

Also, data from the Cabinet Office showed that Japan's leading index improved somewhat in May after falling to a three-month low in April. The leading index, which measures future economic activity, rose to 111.1 in May from 110.9 in the previous month. That was in line with expectations.

Meanwhile, the coincident index improved to 116.5 in May from 115.2 a month ago. Further, this was the highest score since September 2019. The coincident index measures the current economic situation.

In the Asian trading today, the yen rose to 2-day highs of 173.72 against the euro and 204.99 against the pound, from yesterday's closing quotes of 174.33 and 205.74, respectively. If the yen extends its uptrend, it is likely to find resistance around 171.00 against the euro and 202.00 against the pound.

Against the U.S. dollar, the yen climbed to a 1-week high of 160.53 from Thursday's closing value of 161.25. The USD/JPY may test resistance around the 158.00 region.

The yen edged up to 178.68 against the Swiss franc, from yesterday's closing value of 179.11. The CHF/JPY pair is likely to find its next resistance level around the 175.00 region.

Moving away from an early 33-year low of 108.60 against the Australian dollar, the yen advanced to a 2-day high of 108.14. The next possible upside target of AUD/JPY pair is seen around the 105.00 region.

Against the New Zealand and the Canadian dollars, the yen climbed to a 2-day high of 98.25 and 117.94 from yesterday's closing quotes of 98.57 and 118.43, respectively. On the upside, 95.00 against the kiwi and 115.00 against the loonie are seen as the next resistance levels for the yen.

Looking ahead, Eurozone retail prices data for May is due to be released in the European session on 5:00 am ET.

In the New York session, U.S. and Canada jobs data for June, Canada leading index for June and Canada Ivey's PMI for June and U.S. Baker Hughes oil rig count data are slated for release.

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