Published: 2025-11-10T02:38:46.000Z
USD/JPY flows: PM Takaichi Looks Set to Spend
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Japan PM Takaichi says not ruling out a sales tax cut
Japan’s Takaichi abandons annual budget target, takes softer fiscal consolidation stance
Over the weekend, we heard headlines from Japan on policy tilt. The Japanese PM Takaichi will be abandoning annual budget target in the next fiscal year, a key policy stance since she took pose. It opens the path for her to increase spending in the next fiscal year, accompanied by remarks on sales tax changes, such echoes market anticipation of her being tilted towards higher fiscal spending.
USD/JPY jumped higher in the open as JPY weakens on the headline to 152.76, 35 pips above Friday's close. The pair is currently trading 0.28% higher at 153.84.