J.P. Morgan Hikes Dollar-yen Target On BoJ Easing

Researchers at J.P. Morgan expect an increasingly weak Japanese yen following the Bank of Japan's surprise move to accelerate easing measures on Friday. The yen weakened 2.5% against the dollar after the BoJ announcement. The dollar traded at �112.06, up from �109.22 on Thursday. The J.P. Morgan researchers, led by Tohru Sasaki, suggested in a research note that the currency pairing could hit �115 by year end, and �120 in the third quarter of 2015. Their previous forecast was for a year-end target of �109, and a third-quarter target of �110. Nonetheless, they suggested that if the yen continues to depreciate more rapidly, industrial groups and officials could show concern, restraining the yen's fall.