ForexLive Asia-Pacific FX news wrap: USD/JPY swings on comments from Japanese

The
yen was once again here the focus was for Asia-Pacific FX. We had
verbal intervention from Japanese officials today including:

• Japan’s
  Finance Ministry’s Vice Finance Minister for International Affairs
  Kanda
• Another
  official from the Ministry
• Finance
  Minister Suzuki
• Bank
  of Japan Governor Ueda

We
also had published the ‘Summary of Opinions from the Bank of
Japan’s April (25 and 26) monetary policy meeting. Of note in the
report were comments from various board members indicating the body
is closely looking at the impact of the weak yen on inflation and
seeing the potential for faster rate hikes in the future (if
forecasts are met).

Also
from Japan were wages data for March, these were disappointing. For
example, real (after inflation) wages fell for the 24^th
consecutive month. The Bank of Japan are awaiting wage rises to kick
in to fuel a wage-price inflation spiral the Bank is betting on.

And
so to USD/JPY. The pair fell back from the Wednesday highs around
155.65 after the data, Summary, and first bout of verbal intervention. USD/JPY
hit
lows briefly under 155.20 and then
clawed its way back to a high circa 155.70. Its
in the upper area of its day range as I post.

Elsewhere
across major FX ranges were subdued with a lack of fresh news or data
to act as a catalyst.

Still
to come we have trade data from China and later the Bank of England
Monetary Policy Committee decision (there are previews above, no
change to the Bank rate is expected).