Yen Risks Sliding Back to 160 Per Dollar, ING's Pesole Warns
Softer U.S. data and a more dovish Fed may not shield the Japanese yen from weakening to 160 against the dollar, according to ING's Francesco Pesole.
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Francesco Pesole, currency strategist at ING, highlighted that the yen faces a potential return to the 160 per dollar level. While softer United States economic figures and a shift toward a more dovish Federal Reserve stance should, in theory, support the Japanese currency due to its high rate sensitivity, the yen remains vulnerable.
The warning suggests that the factors typically beneficial for the yen might not be enough to offset other pressures driving the currency lower. A move to 160 would mark a significant depreciation from current levels.
Source: FXStreet Forex News