BoJ Stands Pat at 1%, USD/JPY Forecast Wide Range Ahead

The Bank of Japan (BoJ) left its policy rate unchanged at 1% in an 8-1 vote, with Governor Ueda delivering hawkish remarks. Despite this, the Japanese Yen's reaction was muted, with some analysts predicting a 25 bps hike only in December.

TD Securities notes that traders are likely to be wary of follow-up intervention efforts due to the JPY's muted response. This is reflected in their forecast for USD/JPY trading within a wide range in coming weeks.