BOJ reportedly still mulling over January monetary policy decision

BOJ leaks are appearing to be more and more of a thing and this looks to be one to test the waters in gauging the market reaction before their decision later this month on 24 January. USD/JPY has dipped from 158.35 to 157.80 on the headlines here.

It is said that the BOJ is considering to upgrade its “core-core” inflation outlook for both the fiscal years of 2024 and 2025. In doing so, they are still carefully assessing the data ahead of the January meeting decision.

I mean, after the way Ueda communicated last month, you would think January is most definitely off the table. And if you’d ask me now, I will stand by that still as well.

I don’t see what has really changed within this one month to really compel them to move in two weeks’ time. That especially since BOJ officials have continued to allude to wanting to see confirmation of progress from the spring wage negotiations. And that will only come about closer to March.

This article was written by Justin Low at www.forexlive.com.