EUR/JPY continues four-day winning streak as ECB-BoJ policy divergence widens

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• EUR/JPY has maintained its four-day winning spell and has climbed to 154.71.
• IMF has advised that the ECB needs the support of lower fiscal spending to scale down inflationary pressures.
• BoJ Ueda conveyed that inflationary pressures in Japan are driven by higher costs and external factors.

The EUR/JPY pair has continued its four-day winning streak after climbing above Thursday’s high at 153.69. The cross has extended its perpendicular north-side momentum to 154.71 as the Bank of Japan (BoJ) has continued its ultra-dovish policy stance and the European Central Bank (ECB) has raised interest rates by 25 basis points (bps) to 4% as expected by the market participants.