Play of the Day: Is EUR/JPY Ready for a Bearish Reversal?

BOJ officials aren’t playing around and yen traders are taking notice!

In case you missed it, hawkish sentiments from Japanese officials upped the odds of the Bank of Japan (BOJ) exiting its negative interest rate policies sooner than later.

In an interview with reporters, Board Member Hajime Takata shared that:

“We need to consider flexible and nimble steps including for an exit, for instance, the end of the yield curve control framework, negative interest rate and what to do with the overshooting commitment.”

He also echoed BOJ Gov. Ueda and Deputy Gov. Uchida’s sentiments that monetary policies would remain accommodative even as they exit their negative interest rate policies.

Meanwhile, Japan’s top currency diplomat Masato Kanda shared late Wednesday that they’re watching the yen’s moves “with a strong sense of urgency” and they they’re “ready to respond appropriately” if they see “excessively volatile” moves. Duhn duhn duhn.

BearishDayEURJPYPlayReadyReversal
Comments (0)
Add Comment