The depreciation of the yen is progressing despite the cancellation of the negative interest rate policy

The Bank of Japan's negative interest rate policy cancellation observations were already announced in advance last week.

Both the actual interest rate increase statement and Governor Ueda's statement at yesterday's press conference made it clear that the background of short-term large-scale monetary easing has not changed, and there will be no drastic interest rate hikes.

Overall, it was a dovish statement rather than market expectations, so interest rates on Japanese government bonds jumped in a straight line yesterday, and the value of the US dollar/yen also skipped.

Market expectations for tonight's hawkish FOMC announcement by Bao Senior are gradually rising, and in the dot plot to be announced tonight, there is a high possibility that interest rate cuts by the end of the year will not be the 3 times that the market had anticipated, but 2 times. The interest rate difference between Japan and the US will not shrink significantly for the time being, and the continued appreciation of the dollar and depreciation of the yen is also being supported.

Of course, there are other factors, such as short-term bargaining in the exchange market and the exhaustion of shortsThe logic at the core of feeling is, after all, the above two.