New Japanese Prime Minister, Ishiba commented the country's monetary policy expressing that the Japan 'is not in the environment for an additional hike'. Markets interpreted that as a sign of holding still extremely dovish policy in Japan (despite last 2 rate hikes). Previously the Bank of Japan chair, Ueda told to Ishiba that 'we will adjust degree of monetary easing if outlook is realized but will take careful steps to determine that since it takes time'. According to Ueda, Japan's economy is now in an extraordinarily easy environment. However, Ueda agreed to 'close coordination' between government and the BoJ.
USDJPY (D1, M15 interval)
As we can see, Japanese yen weakened after the comments, and USDJPY gains almost 0.9% today, as traders weigh in dovish voices from Japanese government officials, and perspective of 'dovish stance' of new Japanese PM, Ishiba. Major support is now set at 140 zone, while 146 (EMA50, orange line) and 148 levels (23.6 Fibo) are important resistances to watch.
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile app
Source: xStation5
Source: xStation5
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
