Euro Rises Against JPY as BoJ and ECB Outlook Looms

The Euro (EUR) has been gaining strength against the Japanese Yen (JPY), trading around 179.00 during European hours on Tuesday.

This upward trend is attributed to several factors, including rising global oil prices that are inflating import costs for Japan's energy-dependent economy.

Despite these pressures, the JPY may retain support from anticipation of more aggressive monetary tightening by the Bank of Japan (BoJ), as well as the unwinding of global carry trades and signs of domestic investors repatriating foreign assets.

The Euro, on the other hand, continues to find backing from persistent hawkish sentiment surrounding the European Central Bank (ECB).

Traders are awaiting ZEW Survey data for Germany and the Eurozone later in the day, which may provide further insights into the ECB's future policy decisions.