BoJ's Wakatabe: Inflation target is important

The Bank of Japan's deputy governor Masazumi Wakatabe has said the BoJ will continue to conduct monetary policy to achieve 2% inflation accompanied by wage growth.

Key comments
    

Global economy to slow temporarily but likely to pick up as inflationary pressure eases.

Japan's economy likely to continue recovering.

Corporate inflation expectations shifting up somewhat.

What is most important is for changes in price, wages to be sustained, lead to achievement of 2% inflation target. in stable, sustainable fashion.

There is absoutely no change to boj's commitment to continue monetary easing.Our monetary easing was clearly effective in propping up economy.

Efforts to boost long-term economic growth don't conflict with steps to stabilise economy including monetary easing
    
Making central bank's price target ambiguous would hurt transparency of monetary policy, effect of policy steps.

Inflation target is important. 

USD/JPY update

The 4-hour chart sees USD/JPY  below the trendline resistance and the bias is lower following the breakout of the geometrical structure.

If the bears get below the support structure near 128.30, then the outlook will remain bearish. However, if there is a bullish correction and a retest of the 129 area in a 38.2% Fibonacci, then should the bears move in, the focus will be on the 127.50s.