Forex Today: Fed, Bank Of Japan Expected To Hold Rates This Week

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  1. The US Federal Reserve and the Bank of Japan will be holding policy meetings this week. Both are expected to leave interest rates on hold, but there has recently been speculation that the Bank of Japan could begin to move its rates higher in 2024 if inflationary pressures become more sustained. Markets will be watching closely for any language there relating to this.
  2. Last Friday saw crude oil and the USD/JPY currency pair reaching new multi-month high prices, which will be of interest to trend traders.
  3. The Forex market is seeing a slightly softer US Dollar. Since the Tokyo open, the US Dollar has been the weakest major currency, while the New Zealand Dollar has been the strongest. However, the US Dollar remains within a valid long-term bullish trend, keeping the USD/JPY currency pair in focus on the long side for trend traders.
  4. Sugar and Cocoa futures rose strongly Friday to reach new multi-year high prices.
  5. There will be a release tomorrow of the reserve Bank of Australia’s monetary policy meeting minutes.

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