* You are viewing the archive for the ‘USD/JPY’ Category
Intervene? Or not intervene? Every time BOJ did intervene, it didn’t work. Now, the time has come again for BOJ to decide if they want to do it all over again. Is it bye bye 76 and say hello to 75? Do we hear 74? Or is it bye bye 76 and here comes 79?
Via Forex Flash: Intervention in USD/JPY highly unlikely – JPM.
I hope BOJ has trillions of yen to intervene again. It’s creeping back towards 75 slowly. No other central banks want to intervene with BOJ together because they don’t even know how to save Italy’s and Greece’s asses. Good luck, BOJ.
They just spent trillions of yen to intervene yesterday. The intervention drove yen to 79.50 for a brief moment. Now, it is back down to 78 again. Markets just won’t give up buying yen. It’s like ‘Everybody Loves Raymond Yen.’
We know the Japanese authorities repeatedly warn the markets that they will intervene because they don’t want yen to strengthen any further. Markets have twice set record lows within the few days. What is BOJ waiting for? Where is their bottom line?
“Its not enough for the BOJ to only expand its asset-buying program by Y5 trillion or lengthen the duration of JGBs it buys in order to surprise the market because these options have already been reported,” he says. He adds: “if Japan were to intervene now, their target could be three big figures, meaning a boost to around Y79.00.”
