The yen has fallen for six consecutive days, triggering intervention risks.

On June 21, Jin Shi Data reported that the yen is expected to experience its longest consecutive fall since March this year and may close at a 34-year low, increasing the risk of Japanese officials taking action to support the yen. On Thursday, the yen fell for the sixth consecutive trading day, marking the longest consecutive fall in three months. The USD/JPY is currently trading near 159 and is expected to fall to the yearly low of 160.17. In April this year, the yen reached this level for the first time in over 30 years, prompting intervention from Japanese policymakers. Barclays strategist Shinichiro Kadota wrote, ‘As long as the interest rate differential between the US and Japan exceeds a certain threshold, even if the differential narrows, the yen selling caused by arbitrage trading may not decrease.’ They currently expect the USD/JPY to trade around 160 by the end of this year.