Goldman Sachs forecast the downward course for Dollar to Yen to continue with a USD/JPY rate of 95 in the near future.
The Japanese yen has held gains, since December 2019 it has increased over 2% against G10 majors. If we continue to see second waves in infections, safe haven demand for the yen could increase, especially as the US’s COVID-19 recovery is drawn out and outlook for the USD is negative, at least until the elections.
You can also read our full Foreign Exchange Guide to Japan.
The Japanese yen was the best performer within the major currencies in September. Despite radical monetary policy, the Bank of Japan now projects that it won’t accomplish its 2% inflation target at least until March 2022. The BoJ will hold a monetary policy meeting on October 28. Any announcements on interest rates and monetary policy could impact the value of the yen. Typically, JPY will gain when stock markets depreciate. Further correction of the equity markets from all-time highs, and safe haven demand driven by uncertainty, could put the currency in good stead to continue its upward trend. October Update
Read more about FX Broker and Bank analysts' predictions for AUD to JPY future trends in our blog article AUD to JPY Forecast Review.