Snapshot: GBP/JPY trades near 192.80, largely unchanged on the session. BoJ board member Masu’s overnight comments reiterating the central bank’s commitment to slow normalisation is the key driver. Resilient UK wages continue to support Sterling but face increasing headwinds from Yen strength.
- Watch for any follow-through from Masu’s speech, particularly around hints of future policy adjustments.
- UK data remains sparse today; risk events will be driven by fluctuations in broader risk sentiment via US equities.
Bias into NY: Cautiously bearish GBP/JPY. The BoJ’s commitment to policy normalisation, despite holding rates steady last meeting, is capping upside around 193.00. Further Yen strength will pressure the cross.