According to Jinshi Data, OCBC forex strategist Christopher Wong stated that the Federal Reserve's tough stance was originally a good time for the Bank of Japan to raise interest rates. However, the Fed's pause on rate hikes and the Bank of Japan's reluctance may lead to upward pressure on the USD/JPY.
Data related to prices and labor market reports continue to support the Bank of Japan's interest rate hike. The Federal Reserve became more hawkish in yesterday's meeting, which should also give Bank of Japan policymakers some confidence about raising interest rates.