Japanese Yen: Fiscal unease and BoJ path – MUFG
The post Japanese Yen: Fiscal unease and BoJ path – MUFG appeared on BitcoinEthereumNews.com. MUFG’s Lee Hardman notes the Japanese Yen (JPY) has firmed slightly, pulling USD/JPY back from 162.18 to 161.68, as comments from Growth Strategy Minister Minoru Kiuichi attempt to calm fiscal worries. He highlights volatile long-end JGB trading, renewed concern over Japan’s multi‑year investment plans, heavy leveraged fund short Yen positioning, and expectations for a Bank of Japan (BoJ) rate hike by September supporting the Yen. Fiscal signals, JGBs and BoJ outlook “The yen has strengthened modestly overnight resulting in USD/JPY dropping back to a low of 161.68 after hitting a high of 162.18. The yen has derived some support from comments from Japan’s Growth Strategy Minister Minoru Kiuichi who stated that “there’s absolutely no truth to reports suggesting that the government is encouraging low interest rates as part of its fiscal expansion policy. If our intentions haven’t been accurately