# JPM on yield as a driver of yen appreciation

> A JP Morgan note said falling global yields slow Japanese purchases of overseas assets and reduce unhedged outflows from the yen. It estimated that outflows could drop from about JPY20 trillion to about JPY10 trillion over 12 months, which would remove a hurdle to sustained yen appreciation.

- Date: 2020-10-13 · published 2020-10-13T12:00:00.000Z
- Category: macro · region Japan · magnitude low
- Page: https://feedsoft.ai/events/50871-jpm-on-yield-as-a-driver-of-yen-appreciation
- Commodities: [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

A stronger yen would lower the yen cost of US dollar-priced feed imports, a modest support for Japanese feed buyers. The note is a forecast about capital flows, not a supply or demand shock for grains.

## Read by commodity

- USDJPY: bearish ▼

## Sources

- investinglive.com: https://investinglive.com/news/!/jpm-on-real-yield-as-a-driver-of-yen-appreciation-20201013

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.