Yen Mostly Flat During Directionless Trading

The Japanese yen was flat against most major currencies today, though fell versus the Swiss franc. The trading was somewhat directionless on Wednesday as traders were waiting for a monetary policy announcement from the Federal Reserve.
Japan’s Ministry of Finance reported that the trade balance deficit widened from Â¥0.17 trillion in April to Â¥0.61 trillion in May as exports fell, while imports increased. Still, it was a smaller gap than Â¥0.80 trillion predicted by analysts.
G20 meeting will be held next week in Japan. Trade wars will likely be a major topic for discussion during the gathering. Japan’s vice finance minister Masatsugu Asakawa said that his country will not take sides in the conflict between the United States and China:

Japan won’t take sides on US-China trade friction, our stance is to not take steps that violate WTO rules.

The Bank of Japan will make a monetary policy announcement after the meeting tomorrow. No changes to the policy are expected.
USD/JPY was about flat at 108.40 as of 9:53 GMT today. EUR/JPY was little changed as well, trading at 121.41. At the same time, CHF/JPY rose from 108.40 to 108.55.

If you have any questions, comments, or opinions regarding the Japanese Yen, feel free to post them using the commentary form below.

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