Core consumer prices in Tokyo increased faster than anticipated in December. The Bank of Japan (BOJ) may modify its yield curve management strategy. Investors are awaiting a speech from Fed Chair Powell. Today’s USD/JPY price analysis is bearish. Core consumer prices in Japan’s capital, which serve as a leading indicator of national trends, increased faster than anticipated in December by 4.0% from a year earlier. This represents an increase in inflationary pressure over the central bank’s 2% objective for the seventh consecutive month. –Are you interested in learning more about forex robots? Check our detailed guide- The increase, which was the quickest in forty years, will probably support market views that the Bank of Japan (BOJ) may modify its yield curve management strategy to wind down its enormous stimulus program gradually. According to official figures released on Tuesday, the increase in the Tokyo core consumer price index (CPI), which includes fuel but excludes fresh food, was higher than the 3.8% median market prediction and the 3.6% increase recorded in November. Inflation in Tokyo last spiked faster in April 1982, when the core CPI increased by 4.2% over the previous year. The Tokyo core-core CPI index, excluding gasoline and fresh food, was up 2.7% year over year in December, building on the 2.5% annual increase reported in November. The increase in the Tokyo CPI increases the likelihood that December’s national consumer inflation rate will have exceeded the BOJ’s 2% target. The BOJ will probably raise its inflation predictions at a rate review next week, reiterating its confidence that strong domestic demand will sustainably support inflation in the range of its 2% objective in the years to come. USD/JPY key events today Investors will scrutinize a speech from Fed Chair Jerome Powell expected later in the day. The speech will likely give clues on the future of US interest rates. Get FREE Forex Signals Now! USD/JPY technical price analysis: Bears lose steam as the price approaches 131.01 The 4-hour chart shows USD/JPY pushing higher after breaking below the 30-SMA. This comes after bulls found resistance at the 134.50 level. Bears pushed off this level with a strong bearish candle going on to break below the 30-SMA. –Are you interested in learning more about South African forex brokers? Check our detailed guide- However, the bearish move has weakened below the SMA as it approaches the 131.01 support level. This might just be a short pause before bears break below the support. The bulls will return if the level holds strong. This might see the price retesting the 134.50 resistance. Looking to trade forex now? Invest at eToro! Trade Forex Now! 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next EUR/USD Price Finding Traction Above 1.071 Ahead of CPI, Fed Olimpiu Tuns 2 weeks Core consumer prices in Tokyo increased faster than anticipated in December. The Bank of Japan (BOJ) may modify its yield curve management strategy. Investors are awaiting a speech from Fed Chair Powell. Today’s USD/JPY price analysis is bearish. Core consumer prices in Japan's capital, which serve as a leading indicator of national trends, increased faster than anticipated in December by 4.0% from a year earlier. This represents an increase in inflationary pressure over the central bank's 2% objective for the seventh consecutive month. -Are you interested in learning more about forex robots? Check our detailed guide- The increase, which was… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.