Investment banks: Bank of Japan interest rate hike bets heat up, and the yen may test 100DMA

Sina Financial News Investment bank Brown Brothers Harriman said that after the release of salary data on Thursday, if bets on the Bank of Japan to raise interest rates in March heat up, the yen may continue to rise. Elias Haddad, senior market strategist at the bank, said that if wage growth accelerates, the likelihood of a rate hike in March increases, and “the initial target is to test the 100-day moving average near the 147.7 level.” But a sharper decline in the US and Japan will be difficult to sustain, as Japan’s improving inflation backdrop and weak economic activity suggest that the BOJ’s policy normalization process will be gradual and short-lived.