Reuters poll: expect higher USD/JPY
According to Reuters poll of 60 currency strategists conducted this week, USD/JPY is expected to rise to 101.00 in a month, 103.00 in 3 months and to 107.00 in a year compared with 99.00, 101.00 and 105.00 in last month’s poll respectively.
The range of forecasts has also steadily moved towards a weaker yen. Bank of Tokyo-Mitsubishi UFJ points out that “a clear divergence in the loosening monetary policy in Japan and potentially tightening policy in the U.S. will help lift USD/JPY higher.”
At the same time, Japanese yen is seen weakening only a modest pace as analysts wait for Abe to dish out reforms to boost long-term productivity and competitiveness.