ECB will begin tightening at some point - given the rising Euro area inflation.
Current account surplus of the Eurozone is also strong versus Japan.
Japan cannot tighten conditions at this point. Even if they do - JPY may not strengthen as it will lose its value as a funding currency. Furthermore, all other central banks will be tightening at that point anyway.
Current account surplus of the Eurozone is also strong versus Japan.
Japan cannot tighten conditions at this point. Even if they do - JPY may not strengthen as it will lose its value as a funding currency. Furthermore, all other central banks will be tightening at that point anyway.
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