Time For Action, BoJ
Yen is a currency that is very sensitive to monetary policy changes. And as we know, the Bank of Japan has been keeping the ultra-loose stance. But, the depreciated yen is seemed to be demanding action from the Central Bank. The correlation between yen exchange rates and borrowing costs has hit the maximum of some 10 years. Currently, such major Banks as Federal Reserve, European Central Bank, Bank of Canada are considering policy tightening. Thus, many investors assume that BoJ should follow suit.