The EUR/JPY currency pair traded near the 179.10 level on Friday, showing a bearish bias as it remained below the 100-day simple moving average (SMA), according to FX Street.
Market sentiment is influenced by growing expectations of a Bank of Japan rate hike scheduled for next week, which is providing support to the Japanese yen. This anticipated policy move has contributed to the pair's subdued trading around 179.00.
For Japanese investors, the potential BOJ rate adjustment marks a significant shift in monetary policy, likely affecting currency and equity markets as traders adjust their positions ahead of the decision.