This morning’s dollar-yen forecast calls for a recovery into the ¥158 range, although conditions are unfavorable for additional yen-buying intervention.
This morning’s dollar-yen forecast range is ¥157.500 to ¥159.300, while the previous close rose approximately 0.6% to around ¥158.40.
Even after excessive concerns over the situation in the Middle East receded, dollar buying remained dominant, lifting dollar-yen from the upper ¥156 range into the ¥158 range.
The view is spreading that conditions make it difficult to resume intervention. Factors cited include the fact that speculative yen-short positions have not built up and the intention to keep U.S. interest rates in check.
Some market participants also see room for upside to around ¥160.39, the month-to-date high.