USD/JPY Trade Could Edge Higher: Credit Agricole

The video discusses the impact of a potential US government shutdown on safe haven demand and the US dollar, noting that the dollar may weaken against other safe havens like the Swiss franc, yen, and gold during a shutdown. It also covers the Japanese yen's position, rate differentials, and potential intervention by Japanese policymakers. The discussion includes the effects of verbal and actual intervention on market volatility and exchange rates, with a focus on the economic implications of these factors.

In what ways do policymakers justify intervention in currency markets?

What are the implications of verbal intervention by finance ministers on currency volatility?