Former BOJ official Shirakawa was the only analyst to correctly predict last months easing and he is predicting more of the same from tomorrow’s decision. If that were to happen then USD/JPY would probably trade quite quickly into the high 80’s.
Most other bank analysts seem to think that policy will remain unchanged this time around although there may be some change to the statement allowing for increased asset buying later this year or perhaps asset buying on a longer timeframe. Suffice it to say, this meeting and the subsequent language will be much more closely watched than the last one.
