- Analytics
- News and Tools
- Market News
- USD/JPY should have upside potential – Commerzbank
USD/JPY should have upside potential – Commerzbank
USD/JPY eyed the 150.00 level following Shinichi Uchida’s, Deputy Governor of the Bank of Japan (BoJ), speech. Ulrich Leuchtmann, Head of FX and Commodity Research at Commerzbank, analyzes Yen’s outlook.
Rate hike only a positive argument for the JPY if it could be interpreted as the start of a rate hiking cycle
Shinichi Uchida, Deputy Governor of the BoJ, speaks from the heart: ‘Even if the Bank were to end the negative interest rate policy, it is hard to imagine a way in which it would continue to raise the interest rate rapidly.’
A rate hike could only be seen as a positive argument for the JPY if it could be interpreted as the start of a rate hiking cycle. However, I have been telling you for a long time that such an interpretation is nonsense. And Mr. Uchida is now telling you the same thing. Perhaps you believe him more than me.
However, when I read the comments on Mr. Uchida's remarks, my hope that the tiresome hype about the end of the BoJ's negative interest rates will die down, fades. ‘Uchida's speech confirms that the end of negative rates is just around the corner,’ one analyst, obviously a JPY bull, is quoted as saying. It seems to me that some people are hearing what they want to hear. As long as such players have yet to capitulate, USD/JPY should have upside potential.
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
