USD/JPY: BoJ, geopolitics to drive price action – OCBC

Source Fxstreet

USD/JPY rose as Trump and PM Ishiba did not agree to a trade deal, while slightsigns of easing geopolitical tensions also saw some unwinding of JPY longs while market expectation for BoJ to stand pat kept the pair broadly supported. USD/JPY was last at 144.81 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.

Slight risk to the upside

"We had earlier indicated that BoJ MPC on Tue may complicate JPY’s safe haven story. Governor Ueda’s recent comments that BoJ is still some distance from 2% goal gave the impression that timing of next hike may be pushed back. The timing of the BoJ policy normalisation may be deferred but policy normalisation is not derailed."

"Broadening price pressure and wage growth suggest that BoJ’s next course of action remains a hike but in the interim, BoJ may prefer to stay on hold due to uncertainties on outlook and tariff. Nevertheless, we remain watchful for any surprise hawkish tone (from press conference) as that may pose downward pressure on the pair."

'Mild bullish momentum on daily chart intact while RSI rose. Slight risk to the upside. Resistance at 145.10, 145.50 levels. Support at 144 (21, 50 DMAs), 142.50 levels.'

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Alibaba surges 50% in September, tops Hang Seng tech indexThe Hong Kong-listed stock rose as much as 4.1% to over HK$173 during Monday’s session.
Author  Cryptopolitan
10 hours ago
The Hong Kong-listed stock rose as much as 4.1% to over HK$173 during Monday’s session.
placeholder
Global stocks, currencies, bonds, Bitcoin, oil and gold are all surging todayGlobal stocks climbed as Dow futures rose 17 points, S&P 500 and Nasdaq futures stayed flat, and European and Asian indexes posted broad gains.
Author  Cryptopolitan
10 hours ago
Global stocks climbed as Dow futures rose 17 points, S&P 500 and Nasdaq futures stayed flat, and European and Asian indexes posted broad gains.
placeholder
Bitcoin Still Below Peak as Gold Climbs—Is a Catch-Up Rally Imminent?Gold prices climbed to a new all-time high in Asian trading hours on Monday, with spot prices surging to $3,800 per ounce.
Author  Beincrypto
10 hours ago
Gold prices climbed to a new all-time high in Asian trading hours on Monday, with spot prices surging to $3,800 per ounce.
placeholder
Silver Price rallies to $47.00 with US Government shutdown looming Silver remains bid on US Dollar weakness, at 4-year highs, near $47.00.
Author  FXStreet
10 hours ago
Silver remains bid on US Dollar weakness, at 4-year highs, near $47.00.
placeholder
Pound Sterling gains further against US Dollar amid federal government shutdown risksThe Pound Sterling (GBP) extends its upside to near 1.3445 against the US Dollar (USD) during the European trading session on Monday.
Author  FXStreet
11 hours ago
The Pound Sterling (GBP) extends its upside to near 1.3445 against the US Dollar (USD) during the European trading session on Monday.
Related Instrument
goTop
quote