ING chief market strategist Chris Turner said remarks from a hawkish Bank of
Japan board member provided near-term support to the yen, but stronger hawkish
Fed expectations are limiting appreciation, leaving USD/JPY likely to linger
around 160–162. Turner said the BOJ could deliver a 50bps hike or two
consecutive hikes — a bullish signal for the yen — but noted the speaker is one
of a small hawkish minority, so the comments were not unexpected. ING says a
September BOJ hike would imply faster tightening, though policymakers may prefer
to wait until 2027 to assess domestic consumption before further moves. Turner
added U.S. Treasury Secretary Bessent would not welcome a hawkish Fed that
disadvantages the yen, but accepts the benefits of Fed independence.
