Wednesday, 21 January 2015

USD/JPY bounces off 117.20

FXStreet (Edinburgh) - The greenback is now gathering steam vs. its Japanese counterpart on Wednesday, lifting USD/JPY back to the upper-117.00s.

USD/JPY dragged lower by BoJ

The steady stance by the BoJ in its meeting today, leaving intact the benchmark rates and extending one extra year the “Stimulating Bank Lending Facility” and the “Growth-Supporting Funding Facility” gave support to the JPY and triggered a correction lower from the mid-118.00s. Regarding to the inflation forecasts, the central bank revised lower its CPI prospects for this year to 0.9% and 1.0% for 2016, from 1.2% and 1.7%, respectively.
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