UBS on USD/JPY, says 140 to 150 the new normal

Snippet from UBS on the BOJ and yen:

  • USD/JPY not stabilised yet
  • many Japanese companies expect the average USD/JPY exchange rate to be close to 145
  • but there is scope for significant swings still
  • see 140 to 150 as the new trading range
  • say that there is reluctance to build substantial positions in yen crosses right now
  • on the Bank of Japan, UBS expecting another rate hike in October

USD/JPY daily chart update:

This article was written by Eamonn Sheridan at www.forexlive.com. Source