USD/JPY: Outlook for USD is unclear after wild swings – UOB Group
US Dollar (USD) is likely to trade in a range of 143.25/144.30. In the longer run, the outlook for USD is unclear after wild swings; for the time being it could trade between 142.10 and 146.30, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
USD/JPY likely to trade in a range of 143.25/144.30
24-HOUR VIEW: "USD rose and then fell sharply last Thursday. On Friday, we indicated that 'the sharp drop could extend, but oversold conditions indicate that any decline is unlikely to reach 142.80.' Our expectations did not materialise, as USD traded in a range of 143.41/144.44 before closing modestly lower by 0.10% at 144.04. Downward momentum has increased slightly, but rather than a sustained decline, USD is more likely to trade in a lower range of 143.25/144.30."
1-3 WEEKS VIEW: "There is no change in our view from last Friday (30 May, spot at 143.95). As indicated, 'after the wild swings, the outlook for USD is unclear.' For the time being, USD could trade within last week’s wide range, between 142.10 and 146.30."
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