DailyFX.com -

Talking Point:

  • Bank of Japan Governor Kuroda Said Inflation to Pick Up in 2H 2014.
  • USD/JPY Largely Unchanged Following the Press Conference in Tokyo.
  • US Dollar Weakness Post FOMC Meeting May Keep USD/JPY below 102

Want to trade with proprietary strategies developed by FXCM? Find out how here.

Bank of Japan (BOJ) Governor Kuroda spoke at the annual meeting of the National Association of Shinkin Banks, held in Tokyo today. He remarked at the ensuing press conference on the BOJ’s commitment to continue with the unconventional monetary easing until its 2 percent inflation target is met, which was set a year ago. He further alluded that the sales tax increase from 5 percent to 8 percent, which was enacted on April 1st, is causing some economic fluctuations. However, he reiterated that Japan’s economy was recovering moderately and inflation was to pick up in the second half of 2014.

Following the press conference, the Yen advanced slightly higher against the Greenback to trade at 101.921.

The broad-based US Dollar weakness on the back of the June FOMC Meeting may help explain the dive under 102.00 for USD/JPY in yesterday’s trading session. Technical analysis from Currency Strategist Ilya Spivak suggests the pair is currently in a narrow and choppy trading range with near term support at 101.75 and resistance at 102.35.

USD/JPY 5 Minute Chart

USD/JPY Remains Below 102 Handle After BOJ Governor's Speech

Chart Created Using FXCM Marketscope 2.0

New to FX? START HERE!

Edward Hyon, DailyFX Research Team

Keep up to date on event risk with DailyFX Calendar

Related Articles
  1. Forex

    The Pros and Cons of a Fully Convertible Rupee

    Amid the rising economic power of India, the talks of making the Indian currency fully convertible are gaining momentum. We look at the pros and cons.
  2. Forex Fundamentals

    Chinese Yuan an Unlikely Reserve Currency

    As the world's second largest economy, China's challenge to America’s dominance includes a push to make the yuan (RMB), the world’s reserve currency. Whether it can do that now is unclear.
  3. Economics

    How Currency Enforcement Helped Sink The Trans-Pacific Partnership (TTP)

    One particular barrier to trade that has received much attention of late and caused delays in negotiations of the TPP is exchange-rate manipulation, by which a country artificially devalues its ...
  4. Forex

    Top U.S Forex News Sites

    Breaking news moves forex markets. Here are the top U.S. sites for tracking forex news.
  5. Investing

    Financial News Comparison: Bloomberg Vs. Reuters

    Access to financial information has grown with the expansion of digital news. Bloomberg and Thomson Reuters lead the pack, claiming a majority of the business information market.
  6. Economics

    Who Benefits From South Korea's Lowered Interest Rates?

    South Korea is the latest country to cut interest rates in an attempt to stimulate economic growth.
  7. Forex Education

    The Top Uses For P2P Currency Exchange

    Peer-to-peer (P2P) currency exchange networks offer a viable and cheaper alternative for buying and selling currencies.
  8. Forex

    Steps To Open An Offshore Forex Account

    Here is a simple breakdown of how to open an offshore forex account for US-based users, including legal requirements.
  9. Entrepreneurship

    Top Forex Trading Apps

    A brief overview of the top apps that help forex traders with on time information, charts and more.
  10. Investing Basics

    The Risks Of Buying Bitcoin

    Virtual currency is probably here to stay, but what about Bitcoin specifically? Does it have a first-to-market advantage? What are the risks involved?
RELATED TERMS
  1. No results found.

You May Also Like

Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!