IGI Logo

Below the quote on "Currency" by Heena Naik- Research Analyst - Currency, Angel One Ltd 

USDJPY takes a southern dive post BoJ Governor speech

Today, the Japanese Yen appreciated by more than 0.6 percent as markets digested strong statements published by the BoJ Governor Kazuo Ueda over the weekend. He said that the central bank could end its negative interest rate policy once they feel achievement of its 2 percent inflation target was in sight. He also said that the monetary policy tweak in July was “a mechanism to change the balance between the effects and side effects” of monetary easing measures. Since the comments were made over the weekend, the impact on the Yen currency was shown today. USDJPY touched the lower levels of 145.89 while JPYINR surged towards 56.80 levels. This trend is likely to be temporary and investors are expected to build their short positions again in JPYINR in the long term. In conclusion, if the currency pair (JPYINR Spot) does not break the key psychological levels of 57 levels and above, we may see a strong reversal

Above views are of the author and not of the website kindly read disclaimer