The Bank of Japan decided to maintain the interest rate at 0.25%.

The Japanese yen has once again weakened after strengthening following the U.S. Federal Reserve's interest rate cut announcement. Kazuo Ueda, the Governor of the Bank of Japan, decided to keep the interest rate unchanged at the latest meeting, and reiterated that the Bank of Japan would continue its accommodative monetary policy to support domestic economic growth. He emphasized that the focus would remain on closely monitoring domestic economic data as a basis for future interest rate discussions.

The Bank of Japan (BoJ) unanimously decided to hold the interest rate at approximately 0.25% during the September meeting. This meeting indicated that the BoJ is not in a hurry to raise interest rates, despite having raised rates twice this year. The committee also noted the need for more time to monitor overall economic conditions and adjust monetary policy as necessary.

Some committee members assessed that Japan's economy could still grow moderately, though there are some weaknesses. Supporting data include personal consumption trends, which remain on the rise, company profits, and increased corporate spending on technology development and supply chain improvements. As a result, exports continue to be a key source of income for the country.

Japan's annual inflation rate rose to 3.0% in August from 2.8% in the previous quarter, driven by a sharp 26.2% increase in electricity and gas costs. This figure continued to rise after the government decided to withdraw all energy subsidies in May, causing food costs to surge as well.

Japan's exports grew by 5.6% to 8,441.88 billion yen, a sharp slowdown from a 10.2% increase in July. However, this marked the ninth consecutive month of export expansion. Machinery and electrical equipment exports remained the largest sector, growing by 8.7%, driven by semiconductors and ICs, which saw rapid demand for system and data storage development. Additionally, machinery exports increased by 7.9%, and exports of related products grew by more than 4.4%.

Techical analysis data (5H)

Resistance: 144.45, 144.99, 145.48

Source: Investing.com

Buy/Long 1: If the price touches support in the price range of 142.93 - 143.42 but cannot break the support at 143.42, you may set a TP at approximately 144.99 and SL at around 142.39 or according to your acceptable risk.

Buy/Long 2: If the price breaks the resistance in the price range of 144.45 - 144.99, you may set a TP at approximately 145.48 and SL at around 142.93 or according to your acceptable risk.

Sell/Short 1: If the price touches resistance in the price range of 144.45 - 144.99 but cannot break the resistance at 144.45, you may set a TP at approximately 142.93 and SL at around 145.48 or according to your acceptable risk.

Sell/Short 2: If the price breaks the support in the price range of 142.93 - 143.42, you may set a TP at approximately 142.39 and SL at around 144.99 or according to your acceptable risk.

Pivot point September 21, 2024 00:40 AM. GMT+7