Ella 
GBP/JPY rebounded and fell on Thursday before moving back towards the mid-line, meeting resistance near the 189.00 mark, as GBP/JPY traders looked for movement from the Bank of Japan (BoJ). The Bank of Japan fully proposed at the beginning of this year that high wage growth brought about by spring wage negotiations will drive the Bank of Japan to end its negative interest rate system.
Japan’s largest union federation reported last week that Japanese workers had demanded the biggest pay rise in more than three decades during spring wage talks, hitting a 31-year high. The average wage increase demanded by unions was 5.85%, a full percentage point higher than a year earlier and the largest increase since wages rose 7.15% in 1993, according to the Japan Federation of Trade Unions.
As markets head into Friday’s market session, economic data is lackluster for both the pound (GBP) and yen. UK consumer inflation expectations for this year will be released in early European trade, but are strictly mid-range. When last published, UK consumers expected inflation to reach 3.3% over the next 12 months.
