Powell Chair lifted market sentiment / Ueda Governor dragged it down?!

7/31PowellFRB(Federal Reserve Board)Chairman said in a press conference after the FOMC9month rate cut possibility was hinted at,8/2,7month U.S. employment data came in below market expectations, signaling a weaker growth, increasing expectations for rate cuts. This was thus a kind of preemptive statement to communicate with the market, showing successful communication with the market. On the other hand, Haruhiko Kuroda,(hereafter, BoJ)Governor said in a press conference on 7/31 that a possible continuous rate hike could be indicated, which backfired, leading to a rapid rise in the yen and a fall in stock prices; the Nikkei Stock Average subsequently fell to around 6,000 yen within the next3 business days, signaling a loss of dialogue with the market. The background of the diverging statements by the U.S. and Japanese central bank chiefs and the outlook for the USD/JPY exchange rate were assessed.