Intervention risks notwithstanding, JPY bulls will need additional patience in the months ahead, economists at CIBC Capital Markets report.
The 31 October BoJ meeting remains far too soon for a shift
The 31 October BoJ meeting remains far too soon for a shift. Indeed, we remain mindful of the fact that BoJ Governor Kazuo Ueda stated last month that the ‘distance to ending negative rates’ has not changed much.
Intervention risks notwithstanding, we would reiterate the view that JPY bulls may need to remain patient, likely towards the December BoJ.
USD/JPY – Q4 2023: 145 | Q1 2024: 140