7 Apr 2015
BoJ expected to stay on hold, to be neutral for USD/JPY - BAML
FXStreet (Barcelona) - USD related factors might drive USD/JPY, and BoJ holding policy steady might be neutral for the pair, notes FX strategist at BofA-Merrill Lynch, Shusuke Yamada.
Key Quotes
“We retain our view that the BoJ will stay on hold for some time so that USD/JPY will be driven by USD factors, and the lack of change in the BoJ’s confidence tone in the MPM would be neutral or just slightly weigh over the pair."
"On the contrary, signs of a dovish shift by the BoJ or Governor Kuroda should not be dismissed as it would be a bearish signal for the currency in the run up to the 30 April meeting.”
Key Quotes
“We retain our view that the BoJ will stay on hold for some time so that USD/JPY will be driven by USD factors, and the lack of change in the BoJ’s confidence tone in the MPM would be neutral or just slightly weigh over the pair."
"On the contrary, signs of a dovish shift by the BoJ or Governor Kuroda should not be dismissed as it would be a bearish signal for the currency in the run up to the 30 April meeting.”