The Japanese yen remained subdued today even after the Bank of Japan released rather optimistic report, promising growth for the nation’s economy.
The BoJ released its Monthly Report of Recent Economic and Financial Developments today. The report said:
With regard to the outlook, Japan’s economy is expected to continue a moderate recovery as a trend, while it will be affected by the front-loaded increase and subsequent decline in demand prior to and after the consumption tax hike.
As for the world economy, the central bank stated:
Meanwhile, there remains a high degree of uncertainty about the global economy.
Such comments should have increased demand for the yen as a safe currency, but in fact it remained very soft.
USD/JPY rose from 104.09 to 104.25 and GBP/JPY edged up from 170.24 to 170.65 as of 17:56 GMT today.
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