Following the release of the BOJ policy minutes from the July meeting, the GBP/JPY slightly declines to around 200.00.
According to BoJ minutes, officials are optimistic about further tightening monetary policy in the foreseeable future.
BoE's Greene cautions about interest rate decreases and warns of upside inflation risks.
Thursday's late Asian trading session saw the GBP/JPY pair edging lower to around 200.00. Following the release of the Bank of Japan (BoJ) Monetary Policy minutes of the July meeting earlier in the day, the pair declines somewhat as the Japanese Yen (JPY) rises.
As Japan's inflation rate continues to rise and the US-Japan trade agreement has decreased uncertainty, the BoJ minutes indicated that policymakers are becoming more receptive to boosting interest rates even further.
Today's Japanese Yen Price
The BoJ maintained interest rates at 0.5% last week and left the door open for more tightening of monetary policy.
Investors' next attention will be on Friday's release of the Tokyo Consumer Price Index (CPI) data for September. It is anticipated that the Tokyo CPI ex. Fresh Food will have expanded at a rate of 2.8% annually, which is higher than the 2.5% growth rate in August.
There would be speculation that the BoJ would raise interest rates soon if there were indications that pricing pressures were intensifying.
As investors seek further indications regarding whether the Bank of England (BoE) will further reduce interest rates this year, the GBP is trading quite calmly. The BoE is expected to keep borrowing rates unchanged for the rest of the year, according to Reuters.
Megan Greene, a member of the BoE Monetary Policy Committee (MPC), said on Wednesday that the central bank should be cautious about lowering interest rates since "risks to our inflation outlook have switched to the upside," according to Reuters.
According to BoJ minutes, officials are optimistic about further tightening monetary policy in the foreseeable future.
BoE's Greene cautions about interest rate decreases and warns of upside inflation risks.
Thursday's late Asian trading session saw the GBP/JPY pair edging lower to around 200.00. Following the release of the Bank of Japan (BoJ) Monetary Policy minutes of the July meeting earlier in the day, the pair declines somewhat as the Japanese Yen (JPY) rises.
As Japan's inflation rate continues to rise and the US-Japan trade agreement has decreased uncertainty, the BoJ minutes indicated that policymakers are becoming more receptive to boosting interest rates even further.
Today's Japanese Yen Price
The BoJ maintained interest rates at 0.5% last week and left the door open for more tightening of monetary policy.
Investors' next attention will be on Friday's release of the Tokyo Consumer Price Index (CPI) data for September. It is anticipated that the Tokyo CPI ex. Fresh Food will have expanded at a rate of 2.8% annually, which is higher than the 2.5% growth rate in August.
There would be speculation that the BoJ would raise interest rates soon if there were indications that pricing pressures were intensifying.
As investors seek further indications regarding whether the Bank of England (BoE) will further reduce interest rates this year, the GBP is trading quite calmly. The BoE is expected to keep borrowing rates unchanged for the rest of the year, according to Reuters.
Megan Greene, a member of the BoE Monetary Policy Committee (MPC), said on Wednesday that the central bank should be cautious about lowering interest rates since "risks to our inflation outlook have switched to the upside," according to Reuters.
