USD/JPY continues to fluctuate between 115.00 and 115.50. Looking ahead, economists at Danske Bank expect the pair to move downward and fall to the 110 level.

Lower on declining commodities and flatter yield curves

“We expect tailwinds for JPY going forward as commodities start to slide and we see further curve flattening ahead.”

“We forecast the cross at 115 in 1M, 113.5 in 3M, 112 in 6M and 110 in 12M.”