Takaichi Faces Pressure Before Ueda Meeting as Yen, Bonds Slide

Japanese Prime Minister Sanae Takaichi faces mounting pressure to soften her stance on Bank of Japan policy and unveil an economic package with a credible funding plan as the yen and government bonds lose ground ahead of her meeting with BOJ Governor Kazuo Ueda.

The yen weakened to 155.38 per dollar Tuesday, the lowest since January, amid rising speculation that the BOJ will delay any rate hike while Takaichi compiles a larger-than-expected spending plan to be released as early as this week. Japan’s 20-year bond yield rose to its highest since 1999 on Monday owing largely to renewed concerns that the economic package will add to the nation’s pile of debt.