Mitsubishi UFJ analyst Derek Halpenny said if the BOJ at Friday’s policy
decision fails to signal a rate rise matching market expectations, the yen could
weaken. Markets are pricing a 25bp move and roughly 90bps of cumulative
tightening over the next 12 months. Halpenny flagged the risk UEDA’s remarks may
fall short of those expectations, noting UEDA has tended to be cautious amid
rising global uncertainty.