Bank of Japan kept monetary policy unchanged in its meeting today
The BOJ did not announce any changes to their GDP and inflation outlook for this year and next year in its quarterly report - as compared to October's report. But the yen has gained anyway on the back of the comments.
USD/JPY fell from about 110.93 to a low of 110.56 on the decision as it looks like market is focusing a bit on the statement that the BOJ said "inflation expectations have been more or less unchanged and recently moving sideways".
Though they did put a caveat there that "momentum to hit the 2% inflation target is maintained but lacks strength" and that "CPI is accelerating but moves remain weak". It's the same rhetoric if you ask me, and if anything, I'd think that this is as neutral as you can get for the BOJ without implying any hints of hawkishness.
I don't think there's anything new in the message from the statement itself here, so we could see a pullback at this point. Reminder, that there's still the presser from Kuroda later at 0630 GMT.
