USD/JPY heading higher towards 114 - Natixis

Sandeep Kanihama FXStreet Contributor

The USD/JPY appreciated recently on the back of a stronger US dollar and a Japanese yen that weakened after the Bank of Japan (BoJ) reiterated that its monetary policy would remain on hold for a prolonged period, notes the analysis team at Natixis.

Key Quotes

“BoJ board member Goushi Kataoka believes that extra stimulus would be needed for inflation to reach the central bank’s 2% target by 2019 (from 0.4% currently and since the start of 2017). The USD/JPY should clamber towards 114 in coming weeks if, as we expect, US long interest rates continue to rise.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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