HSBC analysts predict modest strength in the yen; recovery expected this year

<p>HSBC analysts are looking for further 'modest' strength in the yen through 2024.</p><p>They argue that after the weakness in JPY over the past 3 years it'll show some recovery this year. Says markets have already discounted expected rate increases in Japan, and falls in the US.</p><p>And add they see:</p><ul><li>a capitulation of short JPY speculative positions and lifers’ FX hedging</li></ul><p>Which</p><ul><li>should be supportive for JPY</li></ul>

This article was written by Eamonn Sheridan at www.forexlive.com.