BOJ to consider issuing bleaker view on output after China lockdowns – Reuters

Dhwani Mehta FXStreet

The Bank of Japan (BOJ) will consider downgrading its assessment on factory output at the June policy meeting due to supply disruptions caused by China’s covid lockdowns, Reuters reports, citing sources with the central bank’s thinking.

The BOJ is expected to maintain the view that Japan’s economy is picking up as a trend, noting that it is likely to continue improving, the sources added.

Market reaction

The above headlines are adding to the downside in the Japanese yen, driving USD/JPY to fresh 20-year highs of 133.79. The pair is up 0.90% on the day.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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