The Japanese yen fell in Asian trading on Thursday against a basket of major and minor currencies, extending its losses for the second consecutive day against the US dollar, as investors turned away from risk and focused on buying the US currency as a preferred safe-haven asset following US President Donald Trump’s speech on developments in the Iran war.

With increasing signs of easing inflationary pressures on policymakers at the Bank of Japan, expectations for a Japanese interest rate hike in April have declined, as markets await further economic data from Japan.

Price Overview

Japanese yen exchange rate today: the US dollar rose 0.45% against the yen to ¥159.48, up from the session opening level of ¥158.77, after hitting a low of ¥158.54.

The yen ended Wednesday’s session down less than 0.1% against the dollar, marking its first loss in the past three days, after earlier reaching a one-week high of ¥158.27.

US dollar

The dollar index rose 0.5% on Thursday, resuming gains that had paused over the past two sessions, reflecting renewed strength in the US currency against a basket of global currencies.

Dollar buying as a preferred safe-haven asset resumed following US President Donald Trump’s address to the nation regarding developments in the Iran war.

Trump’s speech

Trump focused on several key points regarding the trajectory of the Iran war, most notably:

• The objectives of the war with Iran are nearly complete, and Tehran no longer poses a real threat.

• He may target energy and oil infrastructure if negotiations are not satisfactory.

• Major military operations will continue for only two to three more weeks.

• The United States does not need Middle East oil, and US oil production will rise significantly soon.

• The United States has abundant gas supplies.

• The United States does not need the Strait of Hormuz, and the strait will reopen automatically once the conflict ends.

• Countries affected by the closure of the Strait of Hormuz should act to protect their interests.

Opinions and analysis

Carol Kong, currency strategist at Commonwealth Bank of Australia, said Trump’s remarks did not reassure markets, noting that markets are beginning to realize that the war is likely to escalate before it de-escalates.

Kong added that the US dollar is expected to rise further against all major currencies, especially as markets recognize that the global economy will experience a noticeable slowdown.

Japanese interest rates

Data released this week in Japan showed a slowdown in core inflation in Tokyo during March, in the latest sign of easing inflationary pressures on policymakers at the Bank of Japan.

Following the data, markets reduced pricing for the probability of a quarter-point rate hike by the Bank of Japan at the April meeting from 25% to 15%.

To reassess these expectations, investors are awaiting further data on inflation, unemployment, and wages in Japan.

Wall Street ended Wednesday’s session with strong gains, driven by a rise in Alphabet and other major stocks, after US President Donald Trump signaled that the conflict in the Middle East may be nearing an end. Trump told Reuters hours before his speech on the war: “We will get out of Iran quickly,” adding that Washington could return to carry out “targeted strikes” if necessary.

Thomas Martin, portfolio manager at Globalt Investments, said that Trump’s statements sometimes change and everyone is trying to interpret what he actually means, noting that markets hope for a positive outcome and for the war to end soon.

Major technology stocks advanced, with Alphabet rising 3.4%, while Meta Platforms and Amazon each posted gains of more than 1%. Wall Street extended gains for a second consecutive day as investors bet that the US-Israeli war on Iran could end soon, after higher energy prices last month fueled global inflation concerns due to disrupted oil flows through the Strait of Hormuz.

In terms of index performance, the S&P 500 remains down about 4% so far in 2026 and is trading below 20 times forward earnings, its lowest valuation multiple in 10 months. The PHLX semiconductor index rose 2.82% for a second straight session, while space-related stocks climbed after SpaceX filed confidentially for an initial public offering, lifting shares of Intuitive Machines by 9%, Planet Labs by 10%, and Rocket Lab by 2%, while the Destiny Tech100 fund, which holds SpaceX shares, rose 9.1%.

On the corporate front, Eli Lilly shares rose 3.8% after the US Food and Drug Administration approved a weight-loss drug called Foundayo, while Intel surged 8.8% after announcing it would buy back Apollo’s stake in its Ireland plant for $14.2 billion. In contrast, Nike shares fell 15.5% to their lowest level in a decade after the company forecast an unexpected decline in fourth-quarter sales.

The S&P 500 closed up 0.72% at 6,575.32 points, the Nasdaq rose 1.16% to 21,840.95 points, and the Dow Jones Industrial Average gained 0.48% to 46,565.74 points.

The VIX volatility index, known as Wall Street’s fear gauge, fell to its lowest level in more than a week.

Oil prices dropped sharply, with the S&P 500 energy index falling 3.9% to its lowest level in more than a week, while airline stocks rose 2.3%.

On the economic front, the ADP report showed steady growth in private payrolls in March, while retail sales recorded their biggest increase in seven months in February, and US manufacturing activity rebounded last month according to the ISM index. Nonfarm payrolls data for March is expected to be the main focus on Friday, although US markets will be closed for the Good Friday holiday.

Amid rising inflation concerns, traders now see interest rate hikes by the Federal Reserve by year-end as more likely than cuts. Advancing stocks outnumbered decliners on the S&P 500 by 1.5 to 1, with the index recording six new highs and 12 new lows, while the Nasdaq posted 63 new highs and 102 new lows.

Trading volume on US exchanges reached 18.8 billion shares, compared to an average of 20.2 billion shares over the past 20 sessions.

XRP rose 3.23% over the past 24 hours to reach $1.35, driven by optimism surrounding Ripple’s partnership with Convera and recent regulatory developments.

The price move mainly reflects improved risk appetite in the market, supported by a steady flow of positive news within the Ripple ecosystem.

The altcoin’s price action also aligns with a broader recovery in the cryptocurrency market as geopolitical tensions ease and overall risk sentiment improves.

Optimism around the Ripple–Convera partnership and positive regulatory developments provided key support for XRP’s gains. Technical traders noted that if XRP holds above the $1.31 support level, it is likely to test resistance at $1.38. A break below this support could lead to a decline toward the $1.25–$1.30 range, with the next key event being the CLARITY Act hearing scheduled for April 13.

The total cryptocurrency market capitalization also rose 2.59% over the past 24 hours, supported by a 2.84% increase in Bitcoin following reports of potential de-escalation in the Iran conflict. This easing of geopolitical risks has fueled a broader risk-on rally across assets, with XRP’s 3.2% gain clearly reflecting this trend.

Crypto analysts noted that while positive developments related to Ripple provided fundamental support, they were not the primary driver of the latest price increase. The Convera partnership, aimed at enhancing cross-border payments using stablecoins, was announced on March 31.

In addition, discussions within the crypto community about Ripple potentially becoming a trusted national bank, along with the upcoming CLARITY Act, have contributed to a positive long-term outlook, though they have not directly influenced the immediate price movement.

Technically, XRP is currently trading above the daily pivot point at $1.33, with key support at the recent low of $1.31, while the next catalyst remains the CLARITY Act hearing on April 13.

Technology giants Microsoft and Nvidia are collaborating on an AI-driven initiative aimed at accelerating the development of nuclear energy to meet the growing power demands driven by artificial intelligence. The project seeks to build an “ecosystem of AI-powered digital engineering tools” designed to shorten the lengthy timelines required to bring nuclear power plants online, amid rapidly rising global energy demand.

The US nuclear energy sector faces multiple bottlenecks, ranging from complex and costly custom design and engineering processes to lengthy regulatory procedures characterized by layers of bureaucracy. The Vogtle plant in Georgia, the most recent nuclear facility to come online in the United States, highlighted the scale of these challenges. The project took 15 years to complete and cost $35 billion when it was finalized in April 2024, making it the most expensive infrastructure project of any kind in US history.

One commentator wrote about Vogtle in 2024: “The project was such a massive disaster that many experts believe it could be fatal for the future of the US nuclear energy sector. But there are two ways to interpret the warning from Vogtle: either the lesson is not to build new reactors, or the lesson is to build nuclear reactors better.”

Big Tech companies appear to be clearly choosing the second option. Nuclear energy has gained traction in Silicon Valley as a potential solution to meet the massive surge in energy demand driven by the rapid integration of AI. As pressure mounts from both the public and governments on major tech firms to address the energy challenge — the burden of which ultimately falls on consumers, whether they support or benefit from AI — many top technology executives have begun investing billions of dollars into the nuclear sector.

Entering the “digital era of nuclear energy”

Microsoft and Nvidia are strongly backing efforts to overcome the major obstacles preventing a new nuclear era in the United States. They believe that digitizing the analog processes that underpin the sector could be a turning point, enabling more efficient scaling. This will be critical in allowing nuclear power generation capacity to grow in line with the surge in energy demand driven by data centers.

A report by Interesting Engineering described the new system as providing “end-to-end tools that combine AI with digital twins to enable faster and more iterative design and engineering solutions. Licensing and permitting processes are handled using generative AI to draft documentation and identify gaps.”

Advanced modeling capabilities are also expected to simplify the design of new reactors. A Microsoft press release stated: “While traditional 3D models only map physical space, 4D (time-based scheduling) and 5D (cost tracking) simulations can virtually construct the plant before ground is even broken.”

These benefits are not merely theoretical, as Microsoft says it is already seeing efficiency improvements from this collaborative initiative. The toolkit is currently being deployed in smaller-scale environments such as Aalo Atomics and the Idaho National Laboratory. The results have been significant, with Aalo reporting a 92% reduction in permitting timelines, translating into estimated annual savings of around $80 million.

Yasser Arafat, as quoted by Interesting Engineering, said: “There are two very important factors: enterprise-level complexity and mission-critical reliability. We are deploying something complex at a scale that only a company like Microsoft can truly understand.”

In addition to streamlining the development and deployment of traditional nuclear reactors, major technology companies are also investing heavily in unlocking commercial nuclear fusion, which many advocates view as a breakthrough solution capable of generating massive amounts of energy without compromising climate goals or producing hazardous nuclear waste. Once again, they are turning to AI to solve the equation.