A relief rally in USD/JPY is likely if? - Nomura

Analysts at Nomura explained that BOJ Governor Kuroda reiterated his dovish stance at the press conference after the previous meeting. 

Key Quotes:

"Nonetheless, market expectations for BOJ normalisation have been rising gradually, putting downward pressure on yen-crosses. 

While expectations for immediate policy change at next week’s meeting are low, Governor Kuroda’s press conference will be crucial. We expect him to keep his dovish stance unchanged, trying to calm market speculation about near-term tightening. 

A relief rally in USD/JPY is likely if Governor Kuroda confirms a low possibility of imminent policy change."