USD/JPY back above 153.00

The US dollar is broadly higher pretty much across the majors’ board.

JPY is notably weak on the session, USD/JPY above 153.00 as I update.

The only thing we’ve had of Japan was the Q4 Tankan, which wasn’t too bad and showed firms expecting inflation above the BOJ 2% target out for 5 years.

• BoJ Q4 Tankan reports that firms expect Japan inflation to remain above 2%

Amidst all the rumours of a BoJ hold decision next week the Tankan stands out as saying there’s still a chance of a hike (IMO). Nevertheless, yen is weaker on the session.

USD/JPY update – that red line I’ve drawn in is around 153.30 where I think perhaps some resistance on the day. I’m sure ForexLive traders in the comments have better ideas than me though!

Those rumours:

• BOJ reportedly sees little cost to waiting for next rate hike
• BOJ reportedly erring towards keeping interest rates unchanged next week (The leaks keep on coming)

• Goldman Sachs expect the Bank of Japan to remain on hold at 0.25% at the December meeting

This article was written by Eamonn Sheridan at www.forexlive.com.