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19 Feb 2014
Flash: USD/JPY potential upside ahead - BTMU
FXStreet (Barcelona) - Lee Hardman, FX Analyst at the Bank of Tokyo Mitsubishi UFJ, remarks the likeliness of the BoJ to intensify its easing bias this year, weighing on the JPY.
Key Quotes
"Elsewhere, the yen has retraced some its losses recorded yesterday initially following the BoJ’s monetary policy meeting. The policy tweaks delivered by the BOJ are not expected to materially ease monetary conditions in the near-term and as such are likely to have only limited direct impact upon the yen, although indirectly it has also reinforced investor expectations for further BoJ monetary easing later this year."
"BoJ Governor Kuroda spoke in parliament overnight urging the Japanese government to proceed with structural reforms while reiterating that the BoJ will do its utmost to reach its inflation target as soon as possible. The ongoing improvement in global investor risk sentiment should continue to weigh upon the yen ahead.
Key Quotes
"Elsewhere, the yen has retraced some its losses recorded yesterday initially following the BoJ’s monetary policy meeting. The policy tweaks delivered by the BOJ are not expected to materially ease monetary conditions in the near-term and as such are likely to have only limited direct impact upon the yen, although indirectly it has also reinforced investor expectations for further BoJ monetary easing later this year."
"BoJ Governor Kuroda spoke in parliament overnight urging the Japanese government to proceed with structural reforms while reiterating that the BoJ will do its utmost to reach its inflation target as soon as possible. The ongoing improvement in global investor risk sentiment should continue to weigh upon the yen ahead.