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Yen Softens As BoJ Governor Reiterates Stance

JPY

JPY on the defensive as BoJ Governor Ueda reiterates the Bank’s willingness to strengthen easing measures if required, alongside a patient approach re: current policy settings. He also reminded us of the Bank’s view re: the inflation goal not being met.

  • Elsewhere, Ueda stressed that the level of uncertainty remains elevated.
  • When it comes to policy normalisation he would not be drawn on specifics re: the timing of the next adjustment, instead stressing that the Bank will continue to aim to achieve its goal via patient easing, with any adjustments set to come when the price goal is in sight.
  • USD/JPY moves back towards yesterday’s peak, last trading at Y148.37. Technically, the pair’s trend needle continues to point north. The focus is on a climb towards Y148.60 next, a Fibonacci projection. Moving average studies remain in a bull mode position, highlighting the market's positive sentiment. Further out, scope is seen for a climb towards Y150.00. On the downside, initial firm support lies at Y145.91, the Sep 11 low.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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