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16 Jul 2015
USD/JPY: Yen balanced on inflation outlook - BTMU
FXStreet (Guatemala) - Analysts at The Bank of Tokyo-Mitsubishi UFJ, Ltd. explained that investor concerns surrounding Greece and China have eased supporting more risk seeking behaviour which is weighing on the yen.
Key Quotes:
"Fed Chair Yellen reiterated that the Fed remains on course to raise rates this year providing support for USD/JPY. However, it is not yet clear that the Fed will raise rates as early as in September."
"Recent data releases have revealed that the US economy has returned to more solid growth in Q2 but have not yet prompted the Fed to signal that a rate hike is imminent."
"The BoJ remains comfortable to maintain its current easing stance. We do not expect the BoJ to ease policy further this year even as it just downgraded its economic and price forecasts for FY15 year."
"Governor Haruhiko Kuroda still maintains an optimistic outlook for the economy and inflation. The recent improvement in Japan’s current account balance is also offering more support for the yen."
Key Quotes:
"Fed Chair Yellen reiterated that the Fed remains on course to raise rates this year providing support for USD/JPY. However, it is not yet clear that the Fed will raise rates as early as in September."
"Recent data releases have revealed that the US economy has returned to more solid growth in Q2 but have not yet prompted the Fed to signal that a rate hike is imminent."
"The BoJ remains comfortable to maintain its current easing stance. We do not expect the BoJ to ease policy further this year even as it just downgraded its economic and price forecasts for FY15 year."
"Governor Haruhiko Kuroda still maintains an optimistic outlook for the economy and inflation. The recent improvement in Japan’s current account balance is also offering more support for the yen."