EUR/USD 1.03741
-0.225%
Gold 2854.65
-0.782%
Oil 69.851
-0.116%
USD/JPY 150.504
0.467%
GBP/USD 1.25801
-0.156%
GBP/JPY 189.327
0.312%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
Market News: Rostov, Russia is dealing with a Ukrainian drone attack.According to Japans Kyodo News: The foreign ministers of Japan and Mongolia will hold talks in Tokyo on March 4.On March 1, according to the Wall Street Journal, U.S. Defense Secretary Hegseth had his first call with senior Mexican military officials, but it did not go smoothly. According to people who listened to the briefing of the January 31 conference call, Hegseth told officials that if Mexico did not deal with the collusion between the government and drug cartels, the U.S. military was ready to take unilateral action. These people said that the Mexican senior officials who participated in the conference call were shocked and angry and felt that he was suggesting that the United States take military action in Mexico. Hegseths private warning now hangs over Mexicos trade negotiations with Trump. The concern on the Mexican side is that the request for Mexico to end fentanyl smuggling and immigrant trafficking is quietly supported by potential military action from the United States, not just a 25% tariff, which will weaken the countrys economy.March 1, according to the Associated Press, ordinary Ukrainians expressed support for Zelensky, calling him a defender of national interests. Zelensky had previously had a fierce quarrel with Trump in the White House. Many Ukrainians did not seem to be disturbed by the storm. They said that the Ukrainian leader defended the dignity and interests of the country.According to the Guardian: The unprecedented quarrel between Ukrainian President Zelensky and US President Trump made the front pages of major British newspapers, and all major newspapers unanimously expressed their horror.

GBP/JPY attempts to rise above 164.00 as markets watch BOE and BOJ policy

Alina Haynes

Sep 20, 2022 14:42

 截屏2022-09-20 上午9.48.08.png

 

The early Asian trading session has seen the GBP/JPY pair nearing the round level resistance of 164.00. After escaping the tight constriction between 162.78 and 163.60, the asset has continued rising. Large purchases have been made in the risk-sensitive currency, which is expected to rise further now that the risk-on drive has stabilized.

 

The cross is expected to conduct a new rally as the policy gap between the Bank of England (BOE) and the Bank of Japan (BOJ) widens. It is widely anticipated that the BOE will announce a further 50 bps rate hike this coming Thursday in an effort to bring inflation back under control. A drop in the headline Consumer Price Index to 9.9% from 10.2% expected and 10.1% previously announced would not mitigate the size of the rate hike.

 

The United Kingdom has the highest inflation rate of the G-7 countries and is also in the midst of an energy crisis. There must be a significant reduction in pricing pressures or else the trust of households, which are already being strained by the need to make higher payments, will continue to erode.

 

It is expected that this time around in Tokyo, BOJ officials will change their tune about the continued devaluation of the Japanese yen. The Bank of Japan's prolonged ultra-dovish attitude will cease, and it will shift toward a neutral stance. While this may be true, it does not warrant a narrowing of the policy gap between the BOE and BOJ.

 

Meanwhile, the Statistics Bureau of Japan stated that the National CPI was 3%, up from 2.6% in the last release and the expectations. The core CPI (CPI less food and energy) rose to 1.6% from 1.2%, but it still lags behind the predicted 1.7%.

Suggestion