The dollar-yen pair moved narrowly in the low ¥156 range during the Tokyo morning session. With the wait-and-see mood toward trading following the FOMC continuing, the Bank of Japan's 0.25% additional rate hike at its policy meeting is considered fully priced in, but the pace of future rate hikes remains uncertain, shifting the market's focus to the Bank of Japan.
The dollar-yen pair is moving narrowly in the low ¥156 range during the Tokyo morning session. Trading appetite has been restrained following the US FOMC, and no major moves have been seen in recent trading.
The Bank of Japan's 0.25% additional rate hike at the monetary policy meeting beginning today is considered fully priced in, but market participants want to assess the pace of future rate hikes and the degree of the Bank of Japan's hawkish stance. Depending on the Bank of Japan's actions, the cross-yen pairs could become more active.
The cross-yen pairs have generally remained range-bound, with the euro-yen pair around ¥179.00, the pound-yen pair in the upper ¥208 range and the Australian dollar-yen pair near ¥110.91. The market is closely watching the outcome of the Bank of Japan meeting and the conduct of policy thereafter.