SINGAPORE, Sept 22 Reuters The yen fell on Friday after the Bank of Japan BOJ stuck to its ultraeasy policy stance just days after the U.S. Federal Reserve signalled a hawkish pause, piling pressure on the Japanese currency and raising the risk of an intervention.
At the conclusion of its twoday policy meeting, the BOJ kept ultralow rates and its dovish guidance on future monetary policy, even as Governor Kazuo Ueda had earlier this month said the central bank could have enough data by yearend to determine whether it can end negative rates.
That sent the yen falling more than 0.4 against the dollar to a session low of 148.25 . It last bought 148.09 per dollar.
Anyone positioning for something new from the BOJ today, in the form of a less accommodative slant towards monetary policy, has been sorely let down, said Joel Kruger, a currency strategist at LMAX Group.
The yen is right back under pressure in the aftermath of the latest policy decision which produced a familiar recipe of maintaining the status quo. This sets the stage for additional yen declines in the days and weeks ahead.
Data earlier on Friday showed Japan39;s core inflation was steady in August and stayed above the central bank39;s 2 target for a 17th straight month.
Speculation that Tokyo could intervene to support the yen gathered steam, particularly as the BOJ highlighted the necessity to pay due attention to developments in financial and foreign exchange markets and their impact on Japan39;s…