CIBC Capital Markets economists report that monetary policy normalization and rising JGB yields favor USD/JPY approaching 120.00 by year-end.
BoJ policy normalization will boost JPY going forward
“While Kuroda was intimately associated with Abenomics, we don’t expect Ueda to be as tainted. Consequently, we would anticipate a normalization of monetary policy if justified by macro conditions“.
“USD/JPY in the second quarter of 2023: 125.00 | USD/JPY in the third quarter of 2023: 123.00“
“Monetary policy normalization coupled with rising JGB yields, and easing spreads against the US Treasury, leave USD/JPY testing the 120.00 region by the end of the year.”
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.
