Volatility in the Japanese Yen

The Japanese yen has experienced significant volatility recently, depreciating towards the 160 mark. This movement has been influenced by a macro environment of US-led global growth and high US yields, creating a negative outlook for the yen known as a safe haven currency. Factors such as Japan exiting negative interest rate policies and dovish Bank of Japan meetings have contributed to the yen's devaluation. The rate differentials between the Bank of Japan and the Fed, with the BOJ maintaining rates at zero and the Fed hiking rates, have played a crucial role in the yen's pricing.