USD/JPY could drop to 130 again with YCC adjustment – SocGen

Market news

2 June 2023

USD/JPY could drop to 130 again with YCC adjustment – SocGen

According to SG’s FX team, the USD/JPY could drop to 130 again.

Yen should appreciate when money returns to Japan

If the BoJ adjusts its Yield Curve Control (YCC) range at its June policy meeting as we expect, the USD/JPY could drop to around 130 again as the JGB yield rises.

Moreover, as a rule, the unwinding of foreign assets is bullish for the Yen. Net inflows into long-term bonds typically fuel Yen appreciation. We also think the USD/JPY could drop to 110 after 2025.

Currencies. Daily history for Friday, June 2, 2023

Commodities. Daily history for Thursday, June 1, 2023

Market Focus

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer

Open Demo Account & Personal Page

Personal area

support@teletradepartners.com

Risk Warning: Trading in the financial markets (including trading on margin) provides a wide range of opportunities and enables investors ready to take risks to make high profits, but it carries a potentially high level of risk of loss. Therefore, prior to trading you should take into careful consideration whether such operations are suitable for you in terms of your level of knowledge and financial situation.