According to United Overseas Bank (UOB) analysts Quek Ser Leang and Lee Sue Ann, the Japanese Yen (JPY) is exhibiting a slightly bullish tone against the US Dollar (USD), though price action remains confined within a broad range. Recent trading saw the USD/JPY pair swing between 158.33 and 159.13, with intraday movements expected to stay within the 158.55–159.30 band as momentum fades [1].
On Thursday, the USD dipped to 158.00 before rebounding to close at 159.05, marking a 0.56% increase. However, the analysts noted that this rebound appeared overdone, and subsequent price action saw the USD briefly fall to 158.33 before closing little changed at 158.93, a 0.08% decrease. The analysts observed that these movements provided no fresh clues for the market, and they anticipate the USD to continue trading within the 158.55–159.30 range in the near term [1].
Looking ahead over the next one to three weeks, UOB maintains a slightly negative bias for the USD/JPY pair, expecting the USD to edge lower but remain contained within a broader 156.60–159.60 range. The analysts highlighted that while downward momentum is starting to build, it is not sufficient for a sustained decline, and the recent price action suggests fading momentum [1].
No significant market reactions or analyst opinions suggesting a major breakout or breakdown were mentioned, and the overall tone remains cautious with expectations for continued range-bound trading [1].
CONCLUSION
UOB analysts see the Japanese Yen maintaining a slightly bullish stance against the US Dollar, but expect price action to remain range-bound in the near term. Downward momentum for the USD is present but not strong enough for a sustained move, suggesting limited market impact in the coming weeks.