The U.S. dollar held its recent gains on Tuesday after a spike in U.S. Treasury yields lifted demand for the U.S. currency. The dollar has been one of the biggest losers in the past 10 months as ultra-dovish policy from the Federal Reserve encouraged investors to dump the currency for alternative currencies. It hit more .
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TOKYO The yen is destined to strengthen past 100 per dollar for the first time in four years, analysts say, and there is little policymakers can do to stop it.
From J.P. Morgan and Citigroup to MUFG Bank, Tokyo-based strategists see the yen breaking that barrier as early as the next few months.
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A stronger currency would squeeze export-reliant Japan Inc., which is already struggling to deal with the pandemic’s hit to demand. Overseas shipments are suffering their longest stretch of declines on record.
Dec 19 2020, 1:59 AM
December 18 2020, 4:30 AM
December 19 2020, 1:59 AM
(Bloomberg) Wall Street and Japanâs largest banks are starting to see eye to eye on the yenâs outlook, saying its advance could break the barrier of 100 per dollar next year.
(Bloomberg) Wall Street and Japanâs largest banks are starting to see eye to eye on the yenâs outlook, saying its advance could break the barrier of 100 per dollar next year.
JPMorgan Chase & Co., Goldman Sachs Group Inc and BNP Paribas SA are all forecasting that Japanâs currency will hit the century mark for the first time in four years in 2021. Rarer still, domestic giants Mizuho Bank Ltd. and MUFG Bank Ltd. are joining them, with estimates that the yen could even push to 98, a level unseen since 2013.
Dec 18, 2020
Wall Street and Japan’s largest banks are starting to see a similar outlook for the yen, saying its advance could break the barrier of ¥100 to the dollar next year.
JPMorgan Chase & Co., Goldman Sachs Group Inc and BNP Paribas SA are all forecasting that the yen will hit the century mark for the first time in four years in 2021. Rarer still, domestic giants Mizuho Bank Ltd. and MUFG Bank Ltd. are joining them, with estimates that the yen could even push to ¥98, a level unseen since 2013.
The yen at ¥100 to the dollar is a tough call for Japan’s banks, mainly because it’s the point where domestic exporters start losing money. Now the greenback’s weakening trend is closing a traditional gap between local and global perspectives on the yen.