The post Sticky core inflation keeps an October BoJ hike in play – ING appeared on BitcoinEthereumNews.com. Core Japanese inflation continuing to run at 3.4% YoY suggests the Bank of Japan will hike rates in October, ING’s FX analyst Chris Turner notes. USD/JPY to be back pressing 146.00 ahead of the Fed meeting “A 25bp hike in October is currently priced with a 42% probability. The BoJ may also be interested in hiking rates in order to stabilise the long end of the JGB market, where 30-year yields overnight hit the highest levels in over a quarter of a century. (The steeper yield curve is good news for Japanese banks, however, where the Topix banks index is up 23% year-to-date).” “Given that our call is that the Fed will restart its easing cycle in September after all, it looks like the current run-up in USD/JPY will not last. We see gains petering out in the 148.75/149.10 area and would expect USD/JPY to be back pressing 146.00 ahead of the Fed meeting in September.” Source: https://www.fxstreet.com/news/jpy-sticky-core-inflation-keeps-an-october-boj-hike-in-play-ing-202508220935The post Sticky core inflation keeps an October BoJ hike in play – ING appeared on BitcoinEthereumNews.com. Core Japanese inflation continuing to run at 3.4% YoY suggests the Bank of Japan will hike rates in October, ING’s FX analyst Chris Turner notes. USD/JPY to be back pressing 146.00 ahead of the Fed meeting “A 25bp hike in October is currently priced with a 42% probability. The BoJ may also be interested in hiking rates in order to stabilise the long end of the JGB market, where 30-year yields overnight hit the highest levels in over a quarter of a century. (The steeper yield curve is good news for Japanese banks, however, where the Topix banks index is up 23% year-to-date).” “Given that our call is that the Fed will restart its easing cycle in September after all, it looks like the current run-up in USD/JPY will not last. We see gains petering out in the 148.75/149.10 area and would expect USD/JPY to be back pressing 146.00 ahead of the Fed meeting in September.” Source: https://www.fxstreet.com/news/jpy-sticky-core-inflation-keeps-an-october-boj-hike-in-play-ing-202508220935