13 Jul 2015
JPY: What to watch for this week - DB
FXStreet (Mumbai) - Taisuke Tanaka, Strategist at Deutsche Bank enlists key events expected to have major impact on USD/JPY in the week ahead.
Key Quotes:
“Bullish USD/JPY factors may be scarce this week. Just moderate improvement is anticipated in US indicators such as retail sales, production, housing starts and the CPI.”
“Fed Chair Janet Yellen will make her semi-annual address Congress on Wednesday and Thursday. We do not expect her to go beyond recent comments that a rate hike within the year would be ‘appropriate’ but dependant on economic data “
“The BoJ is unlikely to change its current QQE at its Monetary Policy Meeting tomorrow and Wednesday.”
“It may take a bit more time before the USD/JPY tries a new high. We recall, however, how the rate jumped from ¥120 to ¥125 in May when robust housing starts and CPI results were followed by Yellen's hints at a rate hike this year.”
“We believe the USD/JPY is relatively sensitive to stimulus that might reinforce its uptrend, and would recommend maintaining a long position.”
Key Quotes:
“Bullish USD/JPY factors may be scarce this week. Just moderate improvement is anticipated in US indicators such as retail sales, production, housing starts and the CPI.”
“Fed Chair Janet Yellen will make her semi-annual address Congress on Wednesday and Thursday. We do not expect her to go beyond recent comments that a rate hike within the year would be ‘appropriate’ but dependant on economic data “
“The BoJ is unlikely to change its current QQE at its Monetary Policy Meeting tomorrow and Wednesday.”
“It may take a bit more time before the USD/JPY tries a new high. We recall, however, how the rate jumped from ¥120 to ¥125 in May when robust housing starts and CPI results were followed by Yellen's hints at a rate hike this year.”
“We believe the USD/JPY is relatively sensitive to stimulus that might reinforce its uptrend, and would recommend maintaining a long position.”