• Fine-tuning of monetary policy can be effective against yen’s rise
  • Keeping monetary easing stance justified as long as CPI rise stays well below 1%
  • Rise in Japan consumption tax to 15% from 5% unavoidable at some stage
  • BOJ should consider increased JGB buying if deemed necessary in future due to fiscal situation

USD/JPY touch firmer in early European trade, presently at 94.00 from around 93.80 a couple of hours ago. Sell orders still being noted at 94.50 up through 94.80.