Japanese Yen Little Moved on Status Quo BoJ, Markets Await Kuroda
- Bank of Japan leaves monetary policy unchanged as forecasted
- The Japanese Yen was little moved against its major companions
- Governor Kuroda will present a follow-up speech in a few hours
See how the Japanese Yen is viewed by the trading community at the DailyFX Sentiment Page.
The Japanese Yen showed a typical response to a status quo Bank of Japan monetary policy announcement. As expected, the currency failed to move much.
The central bank left the main lending rate and 10-year yield target unchanged at -0.10 percent and 0.00 percent respectfully. In addition, the bond purchasing program continues to chug along at an annual pace of JPY80 trillion.
Policy members voted 8-1 for this outcome with board member Goushi Kataoka dissenting the decision. Kataoka said that the yield curve effect is not enough for the inflation target and that there is a low chance of CPI increasing to 2% from 2018 on.
With that in mind, the markets will likely turn to Governor Haruhiko Kuroda’s follow-up speech at 6:30 GMT later today for more details. Perhaps he might have a comment or two on the most recent inflation figures which saw the core index at 2015 highs.
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