RBC BlueBay Adds to Yen Longs Near 160 as It Bets on June BOJ Hike

1 articles · Updated · Bloomberg · May 20

RBC BlueBay added to long yen positions on Tuesday after the currency drifted back toward 160 per dollar, a level it sees as increasingly attractive.
Mark Dowding said the $155 billion fixed-income manager now expects the Bank of Japan to raise rates in June and sees intervention risk if the yen breaks beyond 160.
The firm first entered the trade in April when the yen was weaker than 159 per dollar, showing it has increased the position as pressure on Japan's currency has persisted.

Is Japan's currency intervention a futile effort against the massive US interest rate gap?

With stagflation looming, is the Bank of Japan trapped between a weak yen and a potential recession?