Anna 
Strategists at BBH anticipate that USD/JPY will rally above its current range in the 151.000s, driven by a combination of factors including gradual tightening by the Bank of Japan (BoJ) and a less aggressive Federal Reserve (Fed) easing cycle.
The recent decline in USD/JPY, dropping over 0.50% to an intra-day low near 150.80, followed hawkish remarks from BOJ Governor Ueda. Japanese Finance Minister Suzuki and Prime Minister Kishida have also cautioned against excessive movements in the yen.
Despite the recent downward pressure, BBH strategists remain optimistic about USD/JPY’s prospects. They believe that it’s only a matter of time before the currency pair breaks higher. This expectation is based on the anticipation of a gradual tightening process by the BoJ and a Fed easing cycle that is less pronounced than what is currently priced into the market.
