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9 Apr 2015
USD/JPY buy on dips to 117-119 – Westpac
FXStreet (Edinburgh) - Strategist at Westpac Robert Rennie recommended buying the pair on dips to the 117-119 area.
Key Quotes
“With the BoJ meeting behind us, but the semi-annual outlook just ahead, FX markets will not want to give up on the prospects of more QE in Japan”.
“We doubt we will see any shifts in JGB purchases near term given some evidence of digestion issues in that market”.
“Rather, any further tweaks on QE may be on REIT/ ETFs and therefore of much less consequence”.
“We have run with a neutral bias with a view to buying dips and see no reason to step up on that view”.
“We remain of the view that dips into the 117/119 range are a buying opportunity”.
Key Quotes
“With the BoJ meeting behind us, but the semi-annual outlook just ahead, FX markets will not want to give up on the prospects of more QE in Japan”.
“We doubt we will see any shifts in JGB purchases near term given some evidence of digestion issues in that market”.
“Rather, any further tweaks on QE may be on REIT/ ETFs and therefore of much less consequence”.
“We have run with a neutral bias with a view to buying dips and see no reason to step up on that view”.
“We remain of the view that dips into the 117/119 range are a buying opportunity”.