2 April | Other

Goldman Sachs sees yen as best safe haven in case of US recession

Goldman Sachs sees yen as best safe haven in case of US recession

According to Goldman Sachs, the yen could strengthen by 7% this year to reach 140 against the dollar. This is due to increasing concerns about US economic growth and trade tariffs.

In addition, the bank's analysts revised their forecast for US monetary policy. They reduced the number of expected rate cuts this year from four to three.

Goldman Sachs experts believe that the yen is the best hedge for investors in case of a recession in the United States. However, as Bloomberg notes, there are risks to such a strategy. Over the past four years, the Japanese currency has experienced significant devaluation. In addition, hedge funds continue to hold mostly short positions on this monetary unit. 

Data on the US labor market will have a greater impact on the yen exchange rate than President Donald Trump's import tariffs, the bank's analysts say. Meanwhile, Bloomberg experts believe that the dollar's decline against the Japanese currency will be driven by a narrowing of Treasury yield spreads.

Elena Dorokhina MarketCheese
Period: 31.10.2025 Expectation: 1100 pips
GBPUSD tests key support under fundamental pressure
Yesterday at 11:25 AM 27
Period: 30.11.2025 Expectation: 2000 pips
Selling USDJPY from 153.00
Yesterday at 10:13 AM 20
Period: 30.11.2025 Expectation: 2100 pips
Buying EURUSD on widening Fed-ECB policy gap
Yesterday at 10:13 AM 20
Period: 31.10.2025 Expectation: 500 pips
Weaker Canadian dollar pushes AUDCAD higher
Yesterday at 07:13 AM 21
Period: 30.10.2025 Expectation: 22800 pips
Buying ETHUSD if bullish reversal occurs
23 October 2025 44
Period: 30.10.2025 Expectation: 340 pips
Natural gas selloff as warm weather forecasts come into play
23 October 2025 38
Go to forecasts