When BOJ meets on 31st July, it might be meeting for the 1st time when USDJPY has appreciated significantly before the meeting itself on rate hike expectations & the cut expectations in QE. This might create a situation when BOJ disappoints the market & JPY again moves towards 158-160 odd levels. What we might get is a 10-15 bps hike and a reduction in QE from current 6 TN JPY per month to 5 TN JPY per month in near term and then to 3 TN JPY over a period of 2 years.
