USD/JPY to become top-heavy past 140 due to concerns of currency intervention – MUFG

USD/JPY fluctuates in a relatively tight range above 140.00. Economists at MUFG Bank expect the pair to become top-heavy past 140.

Japanese authorities to step up efforts to stop the yen from weakening

“We forecast that the USD/JPY will move beyond 140 around the time of the FOMC meeting in September, but do not expect significant upside from there.”

“We think the authorities will strengthen moves to curb yen weakness if the USD/JPY passes 140 considering that the last yen-buying intervention was in June 1998.”