USD/JPY consolidates below 155 amid Yen weakness – BBH

USD/JPY is consolidating yesterday’s sharp gains with the next major resistance offered at 155.00, BBH FX analysts report.

BOJ neutral stance limits support for Yen slide

“Japan Finance Minister Satsuki Katayama warned against excessive yen moves. Katayama said ‘We’ve recently seen very one-sided and rapid currency moves…The government is closely monitoring excessive or disorderly movements in the foreign exchange market, including those driven by speculative moves, with a high sense of urgency’.”

“Katayama’s warning on yen volatility rings hollow. A more hawkish Bank of Japan (BOJ) yesterday would’ve done more to support JPY. Instead, the BOJ’s laid-back policy stance means any intervention will only slow, not stop the yen’s slide. The BOJ would be throwing good money after bad.”