USD/JPY seen easing to 140.00 in H2 – Scotiabank

FXStreet Insights Team FXStreet

The Japanese Yen (JPY) continues to languish. Economists at Scotiabank analyze USD/JPY outlook.

A rapid move higher in the JPY is possible

We forecast USD/JPY easing to 140.00 in H2. This is predicated primarily on the USD responding negatively to easier Fed monetary policy.

The onerous carry makes long JPY positions prohibitive unless market participants feel the JPY is poised to rally strongly and in quick order.

A rapid move higher in the JPY is possible – but perhaps only once traders are convinced that a Fed policy pivot is imminent.

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FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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