15 Nov 2013
Flash: USD/JPY: Yen unattractive short-term - Commerzbank
FXstreet.com (Córdoba) - Japan would benefit from a weaker yen, suggesting the government may be tempted to engage in additional measures to depreciate the currency, said Ulrich Leuchtmann, analyst at Commerzbank.
Key Quotes
"The lesson the recent Japanese data teaches us is that the country needs a weaker yen, otherwise the success of current economic policy is at risk".
"If the yen does not depreciate, the government will not be able to avoid renewed measures to weaken the yen. The alternatives are not pleasant. In this context the BoJ meeting next week gains new significance".
"Will the Japanese central bank send out signals pointing towards further yen weakness? The risk alone makes the yen unattractive short term".
Key Quotes
"The lesson the recent Japanese data teaches us is that the country needs a weaker yen, otherwise the success of current economic policy is at risk".
"If the yen does not depreciate, the government will not be able to avoid renewed measures to weaken the yen. The alternatives are not pleasant. In this context the BoJ meeting next week gains new significance".
"Will the Japanese central bank send out signals pointing towards further yen weakness? The risk alone makes the yen unattractive short term".