- Analytics
- News and Tools
- Market News
- The current environment suggests a recovery in JPY remains strictly tied to US rates breaking lower – ING
The current environment suggests a recovery in JPY remains strictly tied to US rates breaking lower – ING
The declining FX volatility may keep the Japanese Yen pressured by funding demand for carry trades, making USD/JPY even more reliant on a move in USD rates, economists at ING say.
USD/JPY may retest the 152.00+ “verbal intervention” area in the short term
The drop in FX volatility after last week’s action is being helped by the PBoC's stabilisation of the Yuan and should not help the Yen, which remains the most popular funding currency for carry trades.
Verbal interventions in Japan and the softer Dollar momentum are helping a bit, but the current environment suggests a recovery in JPY remains even more strictly tied to US rates breaking lower.
Our call remains bearish on USD/JPY moving forward, but in the very short term, the pair may retest the 152.00+ ‘verbal intervention’ area.
© 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
