- It is fully possible that Tokyo will conduct intervention in case the yen weakens further
- Amid a weakening yen, BOJ may have no choice but to normalise monetary policy
- That includes exiting negative rates and ending yield curve control
He also says that markets shouldn’t take things lightly and think that a threat of intervention is “not imminent”. As for his view on the BOJ stance, it is one that I am sympathetic towards as it is the only thing that can really turn things around for the Japanese yen.