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19 Mar 2015
USD/JPY: Neutral in range 119.50-121.50 - BTMU
FXStreet (Guatemala) - Analysts at The Bank of Tokyo-Mitsubishi UFJ, Ltd explained that they are neutral on USD/JPY.
Key Quotes:
"In the week ahead, USD/JPY will likely stay within its recent narrow range. The Fed removed “patient” from the statement but the lowering of projections on the extent of increases in the federal funds rate resulted in US treasury yields dropping significantly."
"With market expectations for a Fed rate hike in June waning as a result of the shift, the US dollar initially weakened before recovering most of those losses. Next week takes us toward fiscal year-end in Japan although history indicates that the influence on the spot rate is not consistent. Indeed."
"The upper end of the trading range for USD/JPY may be near 121.50, close to the high recorded prior to the drop yesterday. On the downside, the more cautious Fed should be conducive to supporting risky assets that should keep yen gains limited."
Key Quotes:
"In the week ahead, USD/JPY will likely stay within its recent narrow range. The Fed removed “patient” from the statement but the lowering of projections on the extent of increases in the federal funds rate resulted in US treasury yields dropping significantly."
"With market expectations for a Fed rate hike in June waning as a result of the shift, the US dollar initially weakened before recovering most of those losses. Next week takes us toward fiscal year-end in Japan although history indicates that the influence on the spot rate is not consistent. Indeed."
"The upper end of the trading range for USD/JPY may be near 121.50, close to the high recorded prior to the drop yesterday. On the downside, the more cautious Fed should be conducive to supporting risky assets that should keep yen gains limited."