Japanese Yen: Focus on 160 level versus US Dollar and BoJ – Scotiabank
Scotiabank’s Analyst Team highlights that Japanese Yen gains are modest as USD/JPY hovers near the key 160 level, keeping intervention risk in focus. They note that hawkish comments from BoJ Governor Ueda and market pricing for limited tightening keep attention on the June 16 decision, while technical levels remain centred on 160 resistance and support in the 156–158 post-intervention range.
Yen sensitive to intervention risk
"The JPY is up 0.1% vs. the USD while underperforming most of the G10 currencies into Thursday’s NA session. Risk remains centered on the potential for official currency management (intervention) as USD/JPY tests the psychologically important 160 level."
"Comments from BoJ Gov. Ueda have been hawkish, and media reports suggest meaningful deliberations as policymakers look to next week’s meeting and consider an additional hike before year-end."
"Markets are currently pricing 24bps for the June 16 decision and are just below 50bps by December, offering little in terms of near-term upside. For USD/JPY, we continue to highlight the importance of the 160 level, with limited additional resistance ahead of 162."
"Near-term support is expected at 159, followed by the 156-158 range that prevailed in the immediate aftermath of the government’s interventions in late April/early May."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
XRP eyes $2 target as Evernorth secures $30M for institutional XRP purchases
JPMorgan: Custom chip shipments will surpass GPU in 2027; Broadcom TPU's "supply chain invisibility" does not indicate questionable orders
J.P. Morgan expects that by 2027, the shipment share of ASICs/XPUs will reach 54%, surpassing GPUs, with custom chips becoming an important new driver of AI computing power. The five-year TPU agreement between Broadcom and Google covers 2026 to 2031; although supply chain information is not transparent, this does not imply doubts about the orders, and revenue visibility remains strong. During the same period, demand for wafer equipment and storage is also strengthening, supporting the continuation of the semiconductor cycle.
US stocks' September downturn not over yet? Citadel strategist warns: Downward pressure still exists before month-end, potential turnaround in October
Citadel Securities strategist Rubner stated that as US stocks face the $7 trillion options expiration on "triple witching day" this Friday, there is still room for quantitative strategies to sell off, and the overlap of the stock buyback blackout period and pension fund end-of-quarter rebalancing means bearish forces will prevail before the end of the month. However, with the sharp decline in AI trading mania, combined with seasonal tailwinds in the fourth quarter, earnings season catalysts, and the restart of stock buybacks, he is optimistic about the market outlook for Q4.
Crypto prices
More
