USD/JPY: risk aversion favors downside - Scotiabank

FXStreet (Guatemala) - Analysts at Scotiabank noted the conditions surrounding USD/JPY.

Key Quotes:

"The current environment leaves JPY most vulnerable to haven-driven gains in the event of renewed risk aversion.

Recent comments from BoJ Gov. Kuroda have underscored the importance of wage gains, tightening the focus on the upcoming release of labor cash earnings data on Friday (Thursday evening EST). Both yield spreads and risk reversals hint to the potential for further JPY gains (USD/JPY decline)."