The Japanese Yen (JPY) is strong and surpasses all the currencies of the G10 with a gain of 0.8% against the US dollar (USD), they inform the main strategists of FX of Scotiabank, Shaun Osborne and Eric Theoret.
The JPY exceeds in the midst of reducing differentials
“The prospects for the relative policy of the central banks remain dominant, since market participants consider the possibility of an accelerated schedule for leadership changes in Fed. For Japan, comments this week of the BOJ have been a hard line with a strong rating on the result of commercial negotiations with the USA”
“The BOJ has also kept its focus on bond market developments, given the recent turbulence, and should find some tranquility in the last two -year bond auction that saw its biggest bidding relationship to coverage (3.9) since January.”
“The reduction of performance differentials between the US and Japan offers a fundamental support to the JPY, and 2 -year differentials are returning to their recent minimum April.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
