Jin10 Data, November 4 - Goldman Sachs strategists stated that the usual prerequisites for triggering yen intervention have not yet been met, including a rapid fall in the exchange rate to significantly weak levels, disconnection from fundamentals, and more robust verbal intervention. The yen "does not seem to be at particularly weak levels," and its movement is "closely related to the repricing of fiscal risk premiums and recent market changes in expectations of the Bank of Japan's short-term policies," strategist Karen Reichgott Fishman wrote in the report. Goldman Sachs believes that if the absence of U.S. economic data prevents the market from questioning the current positive growth outlook, and the market refocuses on the possibility of an early election in Japan, then there is room for further yen weakness. From a longer-term perspective, the bank still expects that lower hedging costs and a broad decline in the dollar will gradually strengthen the yen, while any signs of deterioration in the U.S. labor market could trigger a faster and larger appreciation of the yen.

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