USD/JPY flat lines near 148.00 as traders await Fedspeak

• USD/JPY trades flat around 148.00 in Monday's early Asian session. 
• The US central bank delivered an expected rate cut but signaled little urgency to lower borrowing costs. 
• BoJ kept interest rates unchanged, with two members voting for a rate hike.

The USD/JPY pair holds steady near 148.00 during the early Asian session on Monday. The US Dollar (USD) strengthens against the Japanese Yen (JPY) as the US Federal Reserve (Fed) cut interest rates last week but signaled gradual easing in the future. Traders will keep an eye on the Fedspeak later on Monday. 

The Fed decided to reduce the interest rates at its September meeting, as widely expected. However, the US central bank signaled little urgency to lower borrowing costs quickly in the coming months. The Fed's rate projection, or the so-called "dot plot," showed a forecast of two more rate cuts this year. A less dovish-than-expected Fed expectation could provide some support to the Greenback in the near term. 

"It's really a week of two halves," said Marc Chandler, chief market strategist at Bannockburn Forex. "The votes, the actual dots, were not as dovish as the statement and the concerns about the labor market suggested," added Chandler. 

The Bank of Japan (BoC) kept its short-term interest rate unchanged at 0.5% for a fifth consecutive meeting, as expected. Nonetheless, the decision passed with only seven of nine members in favor, as two voted for a rate hike, an unusual split that surprised markets.

A surprise dissent by two board members against the decision to hold rates steady unsettled investors and shifted their focus back on how soon the BoJ will next raise rates, which might boost the JPY. Following the meeting, markets have priced in above a 75% chance of the BoJ raising interest rates by 25 basis points (bps) at the October meeting.