Home›Forex›Major Pairs›Joint U.S. and Japan intervention lifts the yen, strat…

Joint U.S. and Japan intervention lifts the yen, strategists look to rate gaps

MarketWatch notes intervention can move the yen near term, but the outlook will likely hinge on interest rate differentials between the two countries.

Reported · Written up by our desk · Major Pairs

MarketWatch reports that joint U.S. and Japanese forex intervention has helped lift the yen.

The outlet adds that while intervention can affect exchange rates, many strategists expect interest rate differentials to be the main driver of the currency’s broader direction.

Japan’s interest rates remain much lower than the U.S., a gap that could limit how far the yen can extend its gains.

For now, strategists appear split on whether intervention alone can outweigh the impact of the rates spread.

More like this

Sources