BoJ: A March hike is under consideration, and Friday’s wage data will be the decisive input – ING

Volatility on the Japanese Yen (JPY) has remained elevated since the start of the week. Economists at ING analyze JPY outlook.

USD/JPY will be impacted by US CPI data and may find some support

The JPY curve currently shows a 73% implied probability of a hike next week, although, by the end of the week, we may see it being scaled back as much as being pushed to fully pricing in a move depending on Friday’s wage data.

For today, USD/JPY will be impacted by US CPI data and may find some support.