Article By RoboForex.com
The USD/JPY pair is trading upwards on Thursday after the April meeting of the Bank of Japan.
On Thursday, the Japanese yen is retreating against the USD. The current quote for the instrument is 111.37. This month’s low is at 108.10, high – 112.20, which are the borders of the mid-term trading range for the pair.
So, the two-day meeting of the BoJ was over today. The key rate remained unchanged, at -0.1%; all other fiscal parameters also remained intact. The regulator said that the QE program volume was still 80 trillion Yens. No further comments were made, and it means that the QE program will continue operating at the same volume.
However, the Bank of Japan revised and improved its economic outlook. For example, the regulator now expects the growth of the GDP this year by 1.6% y/y instead of 1.5% y/y. In 2018, the indicator is expected to expand by 1.3% y/y instead of 1.1% y/y.
Inflation expectations in 2017 are +1.4% (a bit worse that the preliminary estimation), in 2018 – +2%, which is the target of the regulator. The core inflation is expected to grow a bit slower.
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The Yen hasn’t responded to the BoJ’s decisions yet. However, the comments of the regulator’s Governor, Mr. Kuroda, forced it retreat a little bit.
RoboForex Analytical Department
Article By RoboForex.com
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Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.
