The USD/JPY pair is witnessing a rapid devaluation.
The Japanese yen is on an upward trajectory against the US dollar, with the current USD/JPY exchange rate at 147.08.
Two primary factors are steering the yen’s exchange rate: the inflation scenario in Japan and the performance of the US dollar. The pricing dynamics are somewhat stabilized, with the Consumer Price Index (CPI) showing an increase, albeit with some volatility. The conducive conditions surrounding the USD play favorably for the yen, allowing it to alleviate excessive pressure.
Simultaneously, Japanese exporters are expressing positive outlooks regarding the national currency. Companies are poised to surpass profit expectations, courtesy of swift increases in supply volumes and, naturally, the favorable exchange rate trends.
As Japan approaches the conclusion of its fiscal year in March 2024, the average exchange rate for business operations is projected at 140.22 JPY per dollar. This figure represents a 5% surge compared to the average rate since the commencement of the fiscal year, surpassing the initial predictions of currency strategists.
The post JPY Gaining Ground: Overview for November 29, 2023 appeared first at R Blog – RoboForex.