Yen Weakening to 90 Per Dollar Is ‘Best Bet,’ RBS’s Gibbs Says

The yen may extend its slide to 90 per dollar by the first quarter of next year or sooner, according to Greg Gibbs, a senior currency strategist at the Royal Bank of Scotland Group Plc.

Gibbs, based in Singapore, spoke today with Susan Li on Bloomberg Television’s “First Up.”

On the Yen’s outlook:

“This is the biggest story in foreign exchange at the moment. The yen’s in the process of a major sentiment turn here.”

“How high can it go? Well I think we can really get to 90 before we really need to ask that question because the economic conditions as they are now aren’t really a restraint on dollar- yen going higher.”

“By Q1 next year is easily achievable, if not sooner.”

On currency strategy:

“The best bet is to sell yen. I like dollar-yen higher, I’m not as bearish to the dollar as many are. I think the dollar is basically getting close to the point to where it’s had its biggest negative move on quantitative measures from the Fed.”

To contact the reporters on this story: Amina Mobley in Tokyo at amobley1@bloomberg.net

To contact the editor responsible for this story: Rocky Swift at rswift5@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.