USD/JPY seen around 116.00 in 12-month view – Danske Bank

Pablo Piovano FXStreet

Analyst at Danske Bank Mathias Mogensen expects the pair to edge higher towards the 116.00 handle within a year’s view.

Key Quotes

“Market pricing suggests that the general election in Japan on 22 October should not have a significant impact on USD/JPY if Shinzo Abe maintains his majority in the Lower House after the election”.

“However, we still pencil in a higher USD/JPY going forward driven by Fed-Bank of Japan divergence, higher global yields (eventually) and portfolio outflows out of Japan. We target USD/JPY at 116 in 12M”.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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