Jun Kitazawa Quotations

I think the dollar will try the upside if the data are good, but I don't think it will find momentum.

Japan's interest rates are still low. The rate- differential story still attracts Japanese investors to higher yielding assets.

Expectations of the Bank of Japan raising interest rates this year, as shown by climbing bonds yields, may slow down the outpouring of Japanese institutional investors' money. That will also bring about an unwinding of yen carry trades by foreign investors, supporting the yen.

Fed officials' comments point to the risk of faster inflation. We expect three or four more rate hikes this year.

There's more upside risk on the dollar as the rate differential still attracts buyers. The U.S. economy is on a firm footing and the Fed may raise rates at least twice by March.

It seems the U.S. housing markets remain overheated. This will give the Fed another reason to keep raising rates, supporting the dollar.