15 Jun 2015
No surprises from BoJ, USD/JPY range bound – TDS
FXStreet (Edinburgh) - Jacqui Douglas, Strategist at TD Securities, sees the BoJ’s stance unchanged at its meeting on Friday, and the pair to remain in consolidation.
Key Quotes
“We seem to have had an open divide develop over the last week between some members of the government and central bank regarding USDJPY”.
“Risks of easing seem to have dissipated at this stage, even if meeting the inflation target is likely going to require it at some stage”.
“But this meeting will hinge on Kuroda’s comments on JPY and whether 125 is meant to be the line in the sand”.
“We think that upward momentum may be diminishing for USDJPY and look for spot to enter a more consolidative phase in the weeks ahead”.
Key Quotes
“We seem to have had an open divide develop over the last week between some members of the government and central bank regarding USDJPY”.
“Risks of easing seem to have dissipated at this stage, even if meeting the inflation target is likely going to require it at some stage”.
“But this meeting will hinge on Kuroda’s comments on JPY and whether 125 is meant to be the line in the sand”.
“We think that upward momentum may be diminishing for USDJPY and look for spot to enter a more consolidative phase in the weeks ahead”.