USD/JPY: Dollar Eyes ¥152 as Bulls Stage Comeback, on Pace for Fifth Straight Day of Gains

The Bank of Japan issued a warning on reversing its yearslong ultra-loose monetary policy. And it sent bulls charging.

• The USDJPY pair moved to the upside early Friday after the Bank of Japan reiterated its stance to maintain its current ultra-loose monetary policy and restrictive yield-curve control. Said simply, Japan’s central bank is likely to continue handing cash at a negative 0.1% interest rate to allow for the growth of its economy.
• More on that, Bank of Japan chief Kazuo Ueda addressed the topic at the Financial Times Global Boardroom conference yesterday. In it, he said it was still “too early” to predict the trajectory of policy changes. Further, catching up with other global central banks by raising interest rates will be “a serious challenge.”
• Dollar bulls reacted to the latest updates by charging higher and lifting the USD/JPY pair to a weekly high of ¥151.45. The exchange rate is on track to close a fifth consecutive day of gains and is just 40 pips shy of its recent one-year high of ¥151.70. Previously, Japan officials have stated that anywhere above ¥150 per dollar is a potential call for intervention.