Forex Flash: Standing in the way of Yen a dangerous proposition - Societe Generale

FXstreet.com (Barcelona) - Amid the perplexity of the market, the Japanese Yen continues to tumble unstoppable without showing any signs of recovery, as bounces remain almost non-existant.

According to Kit Juckes, Head of FX at Société Générale: "I don't really now how many foreign bonds Japanese investors have bought since the start of the new fiscal year and the ramping-up of BOJ activism, but standing in the way of this move feels just like stepping out in front of a bus."

Mr. Juckes reminds in today's thoughts on the market that Albert Edwards, Global Strategist at Société Générale, "re-published his 63k Nikkei target earlier today, and the core of the piece - that owning the Nikkei is an inflation hedge in a country which has to avoid higher bond yields at all costs - is pretty compelling."

Kit remains bullish Nikkei and bearish yen, although he says that "the air will get much thinner on the other side of USD/JPY 100."