Bank of Japan Governor Haruhiko Kuroda said consumer inflation may exceed the central bank’s projection in the fiscal year that ended in March, voicing confidence the world’s third-largest economy continues to make headway in meeting its price target. Deputy Governor Hiroshi Nakaso added to the optimism, stressing that Japan can withstand the pain from a […]

The post BOJ Governor Says Inflation Might Beat Expectations appeared first on MarketPulse.

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USD/JPY is bid on another fall in trade data in the overnight session. Japan’s bigger-than-expected rise in its March trade deficit ($14b deficit)– imports surge and exports remain subdued — has encouraged investors to sell the yen. It seems that some are happy to treat the latest disappointment in the Japanese trade balance as reason […]

The post USD/JPY – Big Week for Japan appeared first on MarketPulse.

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1. Fed is tapering and BoJ is easing. Thsi central bank divergence in policy gives USD/JPY a bullish bias from the fundamental perspective.
2. USD/JPY has been on an uptrend as seen in the weekly chart for at least the past 1 1/2 year, coming off a historic low.
3. USD/JPY broke above its 2013 triangle at the end of October, signaling a bullish continuation with a strong breakout swing…

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No surprises on a lazy Friday. In today’s Monetary Policy announcement, Bank of Japan opted to keep current pace of easing – by expanding monetary base by 60 – 70 Trillion Yen each year. This is a huge disappointment for traders and speculators alike who were hoping for a show of strength by BOJ to restore market confidence following the hike in Sales Tax earlier this week. Instead, BOJ’s statement was filled with the usual dross – moderate economic recovery…

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The Yen strengthened this morning on safe haven flows, brought about by the political impasse of US lawmakers over the weekend. US House of Representatives voted to only fund the Government only if Obamacare will be pushed back by a year. As Obama has vowed time and time again that there will be no negotiations regarding the debt ceiling, the House votes will effectively shut down a part of the Government operations due to lack of funding. That is assuming that…

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BoJ: The Bank of Japan held the current stimulus measures of about 70 trillion yen a year. It also repeated that the Economy is starting to recover moderately, repeating the phrasing from last month, which was the first time in 2 1/2 years that the word “recovery” was used. Downtrend: After the passive BoJ policy statement, the USD/JPY remains bearish in the short-term since retreating from the 100 mark…

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Key Fundamental Forex Events for the Week of July 15th through July 19th

The following table lists the key economic data and other events that came out during the week of July 15th through July 19th, with release times displayed for the GMT time zone.

The list also indicates how much each release deviated from the market consensus forecast upon release, as well as what the affected major currency pair or pairs did after each event or set of events.

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