It’s been a while since we heard something spicy from the Bank of Japan Kuroda, but today is the day. While speaking in Parliament, Governor Kuroda said, “There’s no need to take additional steps. What’s important is to ensure our policy is sustainable, with an eye on balancing its pros and cons,”
Besides this, it showed concerns to wind up the negative interest rates soon which makes it a quite bullish news for the JPY. We all know that the BOJ is targeting 2% inflation and the Japanese economy is still holding somewhere around 0.5% inflation, far away from their targets. It seems hard for BOJ to hike the interest rate. Which is why bigger fishes might not price in this news.