EUR/JPY: BoJ Becomes A ‘Lone Dove’; Stay Long EUR/JPY Into Year-End – Nomura

The euro suffered from the Draghi drag but the yen did not fall as much. What’s next? Here is the view from Nomura:

Here is their view, courtesy of eFXnews:

Nomura FX Strategy Research discusses the JPY outlook ahead of the BoJ meeting this week, noticing that the central bank is becoming a lone dove among the major central bank community.

“Foreign central banks are taking steps toward policy normalisation, but the BOJ’s accommodative policy stance will likely remain intact next week, as we think a downgrade of its inflation forecast is inevitable again.

We think the BOJ’s persistently accommodative policy stance will weaken JPY against the major currencies,” Nomura argues.

In line with this view, Nomura continues to recommend long EUR/JPY exposure into end-Dec 2017.



Print Friendly, PDF & Email

Author: Travis Esquivel

Travis Esquivel is an engineer, passionate soccer player and full-time dad. He enjoys writing about innovation and technology from time to time.

Share This Post On

Submit a Comment

Your email address will not be published. Required fields are marked *