The au Jibun Bank Japan Manufacturing PMI remained in contraction territory for the seventh straight month and fell to 47.9 in December – the lowest level since February. Predictions of a reversal in the policy divergence between the Bank of Japan (BoJ) and the Federal Reserve (Fed) in 2024 will continue to support the JPY. Minutes from the December 12-13 FOMC meeting reflect consensus that inflation is under control and concern about the risks that overly restrictive policy could pose to the economy.