Yen: what are the possible domestic drivers at the moment? - Nomura

Analysts at Scotiabank explained domestic fundamentals surrounding the yen.

Key quotes:

"JPY picked up a little support through late trade yesterday as US equity markets dipped but steadier markets in Asia and Europe, alongside some softer data from Japan (the Oct manufacturing PMI eased to 52.5 from 52.9 in Sep) has weighed on the yen through European trade. 

The BoJ is reportedly considering a cut in its inflation projection for this year in next week’s economic update, according to local reports suggest. But longer run inflation expectations are expected to remain unchanged (suggesting the change in inflation forecasts has no significant implications for broader policy settings)."