JPY weakness continued to attract investor attention, even though its pace was exacerbated somewhat by thin year-end liquidity. In that regard, Barclays Capital advises its clients to leverage any JPY corrections in the near term to establish fresh long USD/JPY, GBP/JPY positions or to re-long at better levels ahead of the BoJ Jan 21-22 meting. "The political pressure from Abe’s administration on the BoJ to adopt more aggressive easing stance should continue to provide support for JPY-crosses, limiting its downside into the next BoJ meeting on January 21-22," Barclays clarifies. ... (Read the full story)
