Yen remains vulnerable without hawkish BoJ signals
The Japanese Yen has slowed its climb against the USD, holding below 164.00, as lower energy prices ease pressure on policymakers.
The Bank of Japan is expected to keep rates unchanged, but market participants are watching for any hawkish signals on future hikes.
The drop in energy prices has brought relief to Japanese policymakers, but inflation concerns are still having a negative impact on the government’s popularity.
The Federal Reserve’s surprise risk this week may also impact the yen’s vulnerability.