The Japanese yen was firmer today as Haruhiko Kuroda, Bank of Japan Governor, downplayed prospects for additional monetary stimulus from the central bank.
Kuroda signaled during today’s speech that he wants to assess the impact of the current extremely accommodative policy on the economy before acting again:
I’d likely to carefully examine how the effects of [the 0.1% negative deposit rate] will filter through to the real economy.
Furthermore, he admitted that the general perception of negative interest rates is not particularly positive. All the comments made market analysts think that the BoJ will be reluctant to ease its monetary policy at the next week’s meeting.
USD/JPY declined from 113.92 to 113.59 as of 13:06 GMT today. EUR/JPY fell from 125.21 to 124.41.
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