Central banks will be in focus this week, with the BoJ meeting today and tomorrow the starting point. While Governor Kuroda and company are not expected to reveal any changes to the JPY80trn/year QE programme, market participants will watch if there will be any projection change of the BoJ’s 2%Y inflation target into 2018, which may delay further monetary easing steps. Hence, JPY may rebound in the short term, but any setback in USD/JPY into the 103 handle is viewed as providing a JPY selling opportunity. Reasons to sell JPY: There are a number of reasons for our JPY pessimism. First, the market is still long JPY as ... (full story)