{"id":46976,"date":"2025-05-25T20:38:57","date_gmt":"2025-05-25T23:38:57","guid":{"rendered":"https:\/\/tiproject.online\/index.php\/2025\/05\/25\/japanese-yen-and-aussie-dollar-forecasts-trade-and-central-bank-pivots-in-focus\/"},"modified":"2025-05-25T20:38:57","modified_gmt":"2025-05-25T23:38:57","slug":"japanese-yen-and-aussie-dollar-forecasts-trade-and-central-bank-pivots-in-focus","status":"publish","type":"post","link":"https:\/\/tiproject.online\/index.php\/2025\/05\/25\/japanese-yen-and-aussie-dollar-forecasts-trade-and-central-bank-pivots-in-focus\/","title":{"rendered":"Japanese Yen and Aussie Dollar Forecasts: Trade and Central Bank Pivots in Focus"},"content":{"rendered":"

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The commentary cited US delay tactics and the risk of renewed escalation if US political and economic pressures ease. The report concluded that China must prepare for prolonged negotiations and a sustained confrontation.<\/p>\n

A prolonged trade war may impact Aussie trade terms, given China accounts for one-third of Australian exports. With a trade-to-GDP ratio above 50%, weaker demand from China could pressure the RBA into adopting a more dovish stance.<\/p>\n

RBA Governor Michele Bullock recently warned that a worsening trade war could push Australia into recession. She noted:<\/p>\n

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\u201cAustralia\u2019s economy could easily be compromised if a trade war between the US and China escalates\u2026 The market path is reflecting a possibility of a really bad outcome, pointing to a lower RBA cash rate.\u201d<\/p>\n<\/blockquote>\n

Rising recession fears and a more dovish RBA rate path may weigh on AUD\/USD. However, any stimulus out of Beijing could cushion the blow.<\/p>\n

AUD\/USD: Key Scenarios to Watch<\/strong><\/p>\n