JPY weak as risk aversion fades - Scotiabank

FXStreet (Barcelona) - Camilla Sutton CFA, CMT, Chief FX Strategist at Scotiabank, explains that fading risk aversion has boosted USD/JPY today, further anticipating the pair to close the year at 125.

Key Quotes

“USDJPY jumps higher, as risk aversion fades, the USD rallies, Japan’s industrial production is weak, Governor Kuroda reiterates that FX is fundamentally linked and the BoJ does not have a specific range with PM Abe commenting that bold monetary easing is aimed at deflation mindset.”

“Moving into tomorrow’s quarter end, USDJPY is unchanged; compared with EUR losses of 11%.”

“We expect USDJPY to trend higher (a weak JPY), closing the year at 125.”

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