98 Yen to the US$ by year end?

Posted on 23rd March 2010 by Trevor Reynolds in Blog

Yen Gains Deceptive, Traders Most Bearish in 3 Years 

March 23 (Bloomberg) — Japanese households are sending funds overseas at the fastest pace since 2007 in search of higher yields as currency strategists predict the yen will slump 8 percent versus the dollar by the end of the year.

Households are buying Chinese stocks and record amounts of Brazilian bonds as they reinvest the biggest sum of maturing Japan Post Bank Co. deposits in nine years. That will help push the yen down to 98 per dollar by Dec. 31 after it gained this year against all but eight of 155 currencies tracked by Bloomberg, the median of 39 strategists’ forecasts shows. Full article

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