Mitsubishi UFJ: Yen falls after resolution, but prospects for rate hikes will limit depreciation space.

Jinshi data, September 20th, Mitsubishi UFJ Financial Group stated that after the Governor of the Central Bank of Japan, Haruhiko Kuroda, stated that the inflation risk has receded, the yen fell, but the prospect of further interest rate hikes should limit any depreciation. Analyst Derek Halpenny of the bank stated in a report that despite the recent sharp appreciation of the yen, the Central Bank of Japan's decision to maintain the interest rate unchanged on Friday also showed its determination to further raise interest rates at future meetings. He said: "Previously, we felt a strong view among clients that if the Fed cut interest rates significantly, the Central Bank of Japan would be unwilling to raise interest rates again. But the key message from the Central Bank of Japan has not changed, which will limit the dumping of the yen."