USD/JPY: Intervention risk caps upside – BBH

BBH’s Elias Haddad highlights that the Dollar is broadly firmer, but intervention warnings from Japanese officials are supporting the Japanese Yen. Japan’s top currency diplomat stresses a “very clear” joint message from Tokyo and Washington on Yen weakness, and BBH expects USD/JPY to trade within a 155.00–160.00 range in the near term as these risks constrain moves.

Yen supported by intervention threat

"USD is broadly firmer, but intervention risk keeps JPY on the front foot."

"Japan’s top currency diplomat Atsushi Mimura said markets should heed the “very clear” message Tokyo and Washington sent last week on yen weakness."

"We expect USD/JPY to hold within a 155.00-160.00 range in the near term."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)