Yesterday the USDJPY saw accelerated yen weakness after the Bank of Japan kept interest rates unchanged and Governor Kazuo Ueda's press conference reduced expectations for early rate hikes. Strong U.S. personal consumption expenditure data released at GMT 12:30 also contributed, and trading for the day closed at a high of 150.84 yen around GMT 20:00.

Today the USDJPY reached a high of 150.91 yen shortly after GMT 01:30 but failed to extend gains further. The pair is currently trading in the mid-150-yen range as of GMT 04:00.

Looking at the 1-hour chart of the USDJPY (as of GMT 04:20 on August 1), the upward movement has paused and turned sideways, but the middle line maintains an upward slope. A break below 150.50 yen could intensify the correction, but it seems appropriate to maintain a buying perspective.

(20-period Bollinger Band, showing ±1 and ±2 standard deviations)

The main economic indicators for today are as follows:

• GMT 12:30 U.S. July Nonfarm payrolls
• GMT 12:30 U.S. July Unemployment rate
• GMT 12:30 U.S. July Average hourly earnings
• GMT 14:00 U.S. July ISM Manufacturing PMI