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Overview

The yen is strengthening on growing bets that the BOJ will tighten policy faster than before. A large 50 basis point move next week is seen as unlikely, so any hike is more likely to be a smaller step.

Updated 09:00 PM

Medium confidence

High impact

09/08, 04:37 PM

Kyodo News reported that the Bank of Japan will raise its key interest rate by 0.25 percentage points at its September meeting.

Affected assets

USDJPY

FinancialJuice

09/08, 04:37 PM

Related updates

FirstSquawk·09/08, 09:24 AM

USD/JPY fell 0.90% to 152.95.

FirstSquawk·09/08, 08:32 AM

USD/JPY fell 0.6% to 153.410.

ZeroHedge·09/07, 11:15 PM

Japan sold nearly $90 billion in US Treasuries to help fund record-scale yen intervention.

Reuters·09/08, 09:00 PM

Low impact

The yen reached a seven-month high, and Rabobank's Jane Foley said the market now expects the BOJ to accelerate rate hikes, though she views a 50 basis point hike next week as unlikely.

MarketWatch·09/08, 06:42 PM

Low impact

The Japanese yen has risen to a six-month high, with commentators citing a carry trade unwind, Treasury holdings selldown, and supportive fundamentals as potential drivers of further gains.