Forex News Preview: BOJ Rate Decision Likely to Remain Unchanged

The Bank of Japan is concluding its meeting today and it is most likely expected to keep interest rates the same at .5% which is unchanged over the past 20 consecutive months.  BOJ governor Shirakawa will speak after that and this may have an effect on USDJPY and cross movement for this evening's Tokyo trading session.  Although the BoJ has remained steady on their interest rate for close to the past two years, one of Japan's ex-currency chiefs Gyohten has reportedly said that the  BOJ could possible raise rates by 25 basis points in 2008  This news alone was enough to strengthen USDJPY to session low of 106 where it held fast and is currently trading around 106.07.