The hotter-than-expected core inflation rate and sticky headline inflation could force the Bank of Japan to begin tweaking its ultra-loose monetary p
The hotter-than-expected core inflation rate and sticky headline inflation could force the Bank of Japan to begin tweaking its ultra-loose monetary policy stance.
Last Friday, the Bank of Japan left monetary policy ultra-loose. However, the markets expect a tweak to the Bank’s Yield Curve Control (YCC) Policy. The Bank currently maintains a 0% cap on the 10-year bond yield.
USD/JPY Reaction to Japan Inflation Numbers
Ahead of the inflation figures, the USD/JPY fell to a low of 142.988 before rising to a pre-stat high of 143.180.
However, in response to the numbers, the USD/JPY rose to a post-stat high of 143.119 before falling to a low of 142.951.
This morning, the USD/JPY was down 0.08% to 142.991.
amp.fxempire.com