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Robin Brooks highlights the ongoing decline of the Japanese yen, even as markets are aware that Japan might intervene to stabilize its currency. He suggests that when intervention does occur, it may provide only a brief respite, pushing the USD/JPY pair lower temporarily. However, Brooks adds that subsequent efforts are likely to be less effective than the one in April.
Brooks has recently addressed price movements in other major markets. He said oil prices are experiencing a third major panic with no new developments since the Strait closure. In another note, Brooks expects Brent crude prices to hold within an $80-90 range due to war-related risks and a persistent risk premium.