$USDJPY pushing higher again, currently around 161.67. Is the BOJ even paying attention at this point? The intervention talk seems to have cooled off. What's the pain threshold for them? 162? 165? Feels like a one-way street until we get a strong verbal warning, or worse, actual action.
Could be a quiet accumulation phase before they make a move. Intervention often comes when least expected, not when everyone is talking about it.
I'm less convinced they'll intervene significantly. The carry trade is strong, and unless inflation gets out of hand, they might just let it ride.
I agree, it really feels like the BOJ is letting it run a bit. My money's on 165 being the true line in the sand.
Good point about the cooling intervention talk. Maybe they're trying to conserve ammunition for a bigger push or waiting for a more impactful moment.