Bearish
Citi forecasts limited upside for EUR/JPY amid anticipated Japanese intervention
Citi analysts predict that Japanese authorities will intervene in the foreign exchange market to strengthen the yen, potentially capping EUR/JPY's upside. They project the pair could decline to around ¥170 per euro next year, especially if European market turmoil intensifies.
Key points
- Citi anticipates Japanese intervention at approximately ¥160 per dollar to curb yen weakness.
- The bank projects EUR/JPY could fall to around ¥170 per euro next year.
- Citi notes that further recovery in Japanese and U.S. equities could renew downward pressure on the yen amid risk-on sentiment.
Sources
AI-generated from public news sources. Not financial advice.
