Thursday, 29 August 2024
by BD Banks
MUFG highlights that the Bank of Japan (BoJ) continues to signal potential rate hikes despite recent yen strength, with rising front-end yields expected to limit yen selling appetite.
Key Points:
Conclusion:
MUFG believes the BoJ will likely maintain its rate hike trajectory despite recent yen strength, with rising front-end yields expected to curb further yen depreciation. The BoJ’s current communications are likely to reinforce this stance, maintaining a cautious but forward-looking approach to monetary policy.
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This article was written by Adam Button at www.forexlive.com.