Published: 2024-03-22T03:50:04.000Z
USD/JPY flows: Another challenge of yearly high
FX Analyst
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Bank of Japan Governor Ueda says BOJ JGB holdings will remain at current levels for now
More verbal intervention from Japan finance minister Suzuki
February National headline CPI 2.8% vs. 2.2% in January
USD/JPY stay at recent high after a volatile post FOMC session. U.S. Treasury Yields slip while JGB yields are higher. We got more remarks from Ueda but it is only about general action after exiting ultra-loose monetary policy. Suzuki also did his rounds of jawbone intervention and see USD/JPY retreated from session high. National y/y CPI see a rebound in February after inching closer to 2% in January. Less fresh food y/y CPI also rebounded to 2.8% from 2% while less fresh food and energy continues to moderate to 3.2% from 3.5%. We forecast all three categories to resume easing in the coming months.
USD/JPY is trading 0.05% lower at 151.52 after challenging Oct 2022 high circa 151.94.