JPY Market Focus Shifts to BoJ Path Ahead of September 18 Meeting
The Japanese Yen (JPY) has seen its market attention shift from past intervention to fundamentals ahead of the September 18 Bank of Japan (BoJ) meeting.
According to Scotiabank strategists Shaun Osborne and Eric Theoret, the JPY is slightly softer versus the US Dollar (USD), with USD/JPY trading between support at 158.00 and resistance in the upper 159s.
The market narrative appears to be shifting from past intervention to a focus on fundamentals as participants tighten their attention on the BoJ meeting.
The September 18 BoJ meeting is currently priced for about 20 basis points (bps) of tightening, offering some scope for near-term JPY strength.