Though under pressure now, the Japanese Yen had earlier gained against the Pound Sterling on news that the Bank of Japan is finally considering reining in some of its massive stimulus program. Generally, the Yen has been able to firm broadly on that news, rising as well against the US Dollar and the Euro. The Japanese central bank has been actively discussing their intended methodology ahead of its policy decision which will happen later in the month.
As reported at 11:13 am (BST) in London, the JPY/GBP is trading at 146.33 Pence, a gain of 0.02% and coming up from the session trough of 145.681 Pence; the pair's session peak is at 146.431 Pence. The USD/JPY is trading at 111.42 Pence, down 0.89%; the pair has ranged from a low of 110.754 Yen to a peak of 111.508 Pence. The EUR/JPY is trading at 130.59 Pence, down 0.25%; the pair earlier hit a low of 129.8640 Yen, while the high is recorded at 130.7470 Yen.
Inflation Still Problematic
One topic that is likely to be on the table is the Japanese inflation rate which has remained stubbornly low, despite the central bank's best efforts to flood the economy with Yen. The Bank of Japan has long has a 2% target as well as a target date; however, in April 2018, the BOJ halted its policy of publishing an inflation target date. Analysts are now predicting, given the current circumstances, that the BOJ will once again cut its inflation forecast at the July meeting.
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