UOB projects the US Dollar to edge higher toward 158.80 against the Japanese Yen, as the Yen continues to struggle as the weakest G10 currency amid ongoing carry trade demand.
UOB expects the US Dollar to edge higher against the Japanese Yen intraday, with the Yen remaining the weakest G10 currency due to carry trades.
The US Dollar is poised for intraday gains against the Japanese Yen, supported by persistent carry trade activity. United Overseas Bank analysts expect the pair to test the 158.80 level while remaining within a broader 157.50 to 159.05 range over the coming weeks.
The Japanese Yen remains the weakest G10 currency primarily due to the persistence of carry trades, where investors borrow in lower-yielding currencies to invest in higher-yielding ones.