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BOJ Governor Kuroda to meet PM Abe – Jiji

The Japanese media outlet, Jiji Press, reported on Thursday that Bank of Japan (BOJ) Governor Haruhiko Kuroda will meet Prime Minister Shinzo Abe, in one of their regular meetings to exchange their views on the economy.

However, thoughts on the yen appreciation and the economic impact of the coronavirus outbreak cannot be ruled out as the central focus in today’s meeting.

USD/JPY remains volatile, but bearish

USD/JPY stalled its sell-off near 103.09 and bounced-back to 103.40 region, where it now wavers.

The risk sentiment remains sour amid a sudden travel ban on Europe announced by US President Trump while a lack of policy support measures bolstered the risk-aversion.

Market now expects the Fed to cut rates by 100 basis points next week

The fed funds futures market is currently assigning a more than 90% chance of a 100 basis point rate cut at the Fed's March policy meeting. Last week,
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USD/JPY risk reversals hit record low for 5th straight day on put demand

Put options (bearish bets) on USD/JPY continue to draw bids amid sustained risk aversion in the global equity markets. A one-month risk reversal, a ga
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