Lates News

Suisse Securities recommends closing out short positions on the US dollar against the Japanese yen due to expectations that the actual interest rates in the United States will remain relatively high in the coming months, following progress in the US-China trade negotiations. Suisse predicts that the US dollar will continue to rise during the European and American trading sessions and break through 148.50; the negotiations have alleviated market speculation about a US interest rate cut. "Investors holding short positions on the US dollar against the Japanese yen are facing significant pressure, so closing out and transitioning to a neutral position is a prudent move," said Shoki Omori, chief strategist at Suisse Securities. He suggests that if tariff negotiations still pose downside risks for the US dollar, investors should hedge their positions through a USD/JPY risk reversal strategy rather than directly shorting the currency.