Published at 01:50 (GMT) 27 Apr
FT: BoJ will be forced to cut its growth and inflation forecasts this week, but officials are signalling that extra economic stimulus is unlikely for now.
Japan's central bank is set to move its inflation forecast for the 2015 fiscal year down several tenths of a percentage point from the current 1% and shave its growth forecast from the current 2.1%, even as its quantitative easing programme buys Y80tn ($673bn) worth of bonds each year.
But despite a disappointing start to the year, with inflation dipping back to zero, BoJ Gov Haruhiko Kuroda has argued strongly that the BoJ's existing stimulus programme intended to boost inflation is on track.
On FX, all eyes on April 30 BoJ board meeting. Could see some lowering of forecast - but no extra easing. Though BoJ Kozo Yamamoto, architect of Abenomics - has piled pressure on BoJ to do more.
USD/JPY at 118.93-95, supported by Japanese fixing demand. Good bids at 118.50-60, offers at 119.00-10, stops above 119.10-15. More offers at 119.30-50.
AUD/JPY at 93.10-15, offers at 93.40-50, Japanese bids at 92.50-60. 2-way interest for now.
Recommended Content
Editors’ Picks
AUD/USD remained bid above 0.6500
AUD/USD extended further its bullish performance, advancing for the fourth session in a row on Thursday, although a sustainable breakout of the key 200-day SMA at 0.6526 still remain elusive.
EUR/USD faces a minor resistance near at 1.0750
EUR/USD quickly left behind Wednesday’s small downtick and resumed its uptrend north of 1.0700 the figure, always on the back of the persistent sell-off in the US Dollar ahead of key PCE data on Friday.
Gold holds around $2,330 after dismal US data
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
Bitcoin price continues to get rejected from $65K resistance as SEC delays decision on spot BTC ETF options
Bitcoin (BTC) price has markets in disarray, provoking a broader market crash as it slumped to the $62,000 range on Thursday. Meanwhile, reverberations from spot BTC exchange-traded funds (ETFs) continue to influence the market.
US economy: slower growth with stronger inflation
The dollar strengthened, and stocks fell after statistical data from the US. The focus was on the preliminary estimate of GDP for the first quarter. Annualised quarterly growth came in at just 1.6%, down from the 2.5% and 3.4% previously forecast.