‘Mr. Yen’ Says Japan’s Currency May Fall to 160 and Beyond
- Yen may hit levels last seen in 1990 on US-Japan rates split
- Sakakibara correctly predicted yen would fall to 150 last year
This article is for subscribers only.
The yen may fall through the more-than three-decade low it reached last year amid Japan’s widening monetary policy divergence with the US, according to Eisuke Sakakibara.
Known as “Mr. Yen” for his ability to influence the currency when he was Japan’s vice finance minister from 1997-1999, Sakakibara said the yen may weaken more than 10% from current levels as the Bank of Japan clings to ultra-easy policy while the Federal Reserve raises interest rates to tame inflation. The yen strengthened to about 143.6 per dollar on Friday in Tokyo.