📝Yen Could Fall Past 140/USD After Jackson Hole: ANZ

Yen may fall beyond 140 to the U.S. dollar if Jackson Hole pushes U.s. 10-year yields to 3.4% or 3.5% next week. If expectations for rate cuts in 2023 start fading, U.S. 5-year or 10-year yield will look too low and start rising again. Stocks are expected to drop after Jackson Hole and this should push most JPY X-es lower, but USD/JPY will probably rise as the dollar gets a boost from yield differentials. - ANZ