USD/JPY (current price: 104.28)
The Bank of Japan held its monetary policy meeting as well today in early trading, and the central bank reassured investors that it is willing to do “whatever it takes” to reach its inflation target in the face of the deflationary headwinds in Japan. The BOJ disappointed financial markets as the central bank didn’t announce any new measures to support the struggling Japanese economy. The pair fell sharply following the announcement, and it hit fresh new lows below 105 as traders removed their bullish bets.
Our assessment: USD/JPY quickly declined below the crucial 105 level and the pair is likely to fall even more, as the BOJ is losing control of the Yen’s uptrend.
