USD/JPY refreshes daily lows below 113.55 ahead of UK/Japan data

• USD/JPY consolidates below 113.55 in the initial Asian session.
• The US dollar trades at four-week lows despite higher US T-bonds yields.
• BOJ interest rate decision and forecast, and mixed economic data supported the yen.

USD/JPY remains subdued on the last trading day of the week, following the previous session’s downside movement. The pair stayed in a narrow trading range. At the time of writing, USD/JPY is trading at 113.58, up 0.01% so far.

The US dollar index traded near, lowest in four weeks after GDP growth came below the forecast of 2% and PCE prices increased faster than anticipated. 

On the other hand, the Japanese yen gained some traction after the Bank of Japan (BoJ) policy update. The BoJ maintained the status quo while keeping the cash rate low at -0.10%. The central bank also trimmed this year’s consumer inflation forecast to 0% from 0.6%.

It is worth noting that, S&P 500 Futures are trading at 4,577.50, down 0.23% so far. 

As for now, traders are waiting for Japan Unemployment Rate, Consumer Confidence, US Personal Income and Spending to gauge the market sentiment.