BOJ intervention to support the JPY could get a boost from ‘risk off’ sentiment | Forexlive

Comments on wariness over Bank of Japan intervention via Mizuho:

• It would be unwise to project the BoJ’s restraint on premature tightening as a green light for aggressively shorting the JPY. Intervention risks are clear and present
• the MoF is intent on keeping speculators at bay. Which means that the temptation to lift USD/JPY above 149 to test 150 will have to answer to the sharp end of the MoF’s interventions. And speculators will be well-advised to be wary.
• despite higher UST yields (that pressures JPY), “risk off” sentiments could squeeze JPY funded carry and boost JPY from haven demand. And if the MoF leverages on this , short JPY speculators could hurt a lot more.