Created
: 2025.05.08
2025.05.08 19:27
USD/JPY has firmed above 144.00 as dovish BoJ signals and downgraded forecasts reinforce the view that Japan's rate hike cycle is near its end, BBH FX analysts report.
"USD/JPY is up above 144.00. The Bank of Japan Minutes of the March 19 meeting further strengthens the case that there probably won't be many more rate hikes ahead. One BOJ member warned that the BOJ may need to 'shift from its current accommodative monetary policy stance to a neutral one' after the next policy rate hike."
"Since that March meeting, the BOJ softened its hawkish guidance even more at the May 1 meeting by slashing its growth and inflation projections. The swaps market implies just one 25bps hike to 0.75% over the next two years. USD/JPY has good technical resistance at 145.00."
Created
: 2025.05.08
Last updated
: 2025.05.08
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