The Japanese Yen (JPY) declines to over a two-week low against the US Dollar (USD) on Friday, albeit manages to defend the 145.00 psychological mark heading into the European session. Traders opt to move to the sidelines and now look to the official monthly jobs data from the United States (US) before placing fresh directional bets. The crucial Nonfarm Payrolls (NFP) report could offer cues about the timing of when the Federal Reserve (Fed) may begin cutting interest rates. This, in turn, will play a key role in influencing the USD price dynamics and provide a fresh directional impetus to the USD/JPY pair. In the meantime, diminishing odds for more aggressive policy easing by the Fed remain supportive of elevated US Treasury bond yields and assist the USD to hold steady below a near three-week high touched on Wednesday. Meanwhile, a powerful earthquake that hit Japan on New Year’s Day seems to have dashed hopes that the Bank of Japan (BoJ) will abolish negative rates later this month. This, in turn, undermines the JPY and acts as a tailwind for the USD/JPY pair. Investors, however, seem convinced that the BoJ might eventually shift away from ultra-loose monetary policy settings in April.By Fxstreet.com