Japan's Postbank CIO says BOJ likely to lift its 10-year bond yield target if USDJPY rises to 120.00

Author: Mike Paterson | Category: News

Japan Postbank's Chief Investment Officer 16 Feb

  • USDJPY could reach 120 later this year

No rush for the BOJ just yet then.

  • Postbank is starting to increase exposure to US bonds following sell-off late last year
  • has taken profits on USDJPY longs built in Sept-Oct

Jobbing/ taking money off the table despite seeing it higher eventually this year. Prudent or impatient?

You the jury can decide. They may well have chopped out around 118.00 and rebuilding longs down here, in which case that's a good call if they see a base again. These guys are large players.

  • US shares could see mild correction on higher rates, rising costs
  • US 10-year yields likely to rise to around 3% this year
  • Postbank plans to invest at least JPY 1trln in each of pvt equity, properties, hedge funds

So there you have it. That's the view of an influential player.

USDJPY nudging higher still into 114.00