Dollar Hits Fresh 34-Year High Against Yen as Bulls Charge Toward ¥155.00 — TradingView News
The dollar-yen continued its climb despite multiple intervention warnings from Japan. When are officials going to make a move?
Key Points:
- Dollar hits fresh 34-year high to yen.
- No sign of intervention near ¥155.00.
- Japan is in a complicated situation.
- Tea
USDJPY peer is on the verge of making history. Floating just under the ¥155.00 threshold, the dollar-yen peaked on Tuesday at a fresh 34-year record of ¥154.85. No signs of intervention from Japan have prompted traders to try their hand and see how far they can go before it’s too far. And in this situation, no one actually knows where the line is. - Analysts started speculating of a Japan intervention once the exchange rate crossed ¥150.00. More analysts got onboard later, saying officials could wade in anywhere between ¥150.00 and ¥155.00. Now the real test begins — how much more of the yen’s valuation is Japan willing to surrender before it makes a move and buys boatloads of its currency?
- All markets have received from Japan so far are mere warning signs that the yen is being monitored. And that officials are ready to jump if they reckon that the speculation frenzy has spiraled out of control. But shoring up the yen by pouring billions in long bets has a downside — it may further incentivize dollar bulls to bulldoze their way through the dollar-yen sell wall pulled up by Japan.
