The yen on the threshold of intervention?

At the beginning of the day, the Japanese yen was under slight pressure after the speech of the representative of the Bank of Japan Kataoko, who spoke in favor of a softer monetary policy. This statement was perceived very restrained and slightly exerted pressure on the Japanese currency.

Earlier, the Bank of Japan was very reserved commenting on any change in monetary policy, which in some places indicated that the Central Bank of Japan had thought about curtailing the quantitative easing program. There are no actual signals for this. But the fact that the Bank of Japan likes to conduct verbal intervention, thereby increasing the pressure on the national currency after growth, can be considered as a regularity.

The Central Bank of Japan is one of the world’s banks that does not speak openly about the curtailment of incentive measures, which indicates that the Bank of Japan will maintain a soft monetary policy.

Also, read: “Expectations for the USD/JPY pair“

Hanzenko Anton