USD/JPY: yen making fresh highs for 2017 - Scotiabank

Analysts at Scotiabank noted that the JPY is strong and outperforming all of the G10 currencies hitting a fresh 2017 high at levels last seen in late November.

Key Quotes:

"The broader tone remains dominant in providing JPY support, reflecting JPY’s risk profile and tendency to strengthen in periods of uncertainty. FX-related comments from Finance Minister Aso have been relatively mild."

"Aso expressed concern about ‘extreme’ moves in FX. Gov. Kuroda also delivered comments highlighting the BoJ’s focus on accommodation in order to achieve the inflation target. Headline risk is likely to remain elevated as policymakers and officials seek to push back on unwanted JPY strength."