Japanese yen surges ahead of central bank meetings
On Tuesday, the Japanese yen soared against the greenback and the common currency. However, those revenues were held in check, because market participants were eagerly looking forward to Japanese and US central bank gatherings this week.
The currency pair USD/JPY dipped 0.28%, trading at 110.88. EUR/JPY dipped 0.22%, being worth of 125.03.
On Thursday, the Bank of Japan is about start its two-day monetary policy gathering and in recent days expectations as for further easing have mounted.
On Friday, the Japanese yen sagged 2.1% against the US dollar when Bloomberg posted that the Japan’s major bank could get down to further expanding its negative interest rate policy.
Some market participants are assured that the BOJ isn’t going to roll out further easing measures because it simply keeps evaluating the overall impact of negative rates on the national economy.
However, many financial experts expect Japan’s central bank to decrease its forecasts for inflation and growth, taking into account recent earthquakes and the growing yen.