Bank of America analysts predict a significant strengthening of the Japanese yen, forecasting it will reach 149 yen per US dollar by the end of 2026. This optimistic outlook is driven by expectations of coordinated intervention in the foreign exchange market between Tokyo and Washington. The bank anticipates joint efforts to stabilize the yen, potentially bolstering its value. Contributing to this forecast is the belief that the Bank of Japan will begin raising interest rates in the coming months. A rate hike would increase the attractiveness of yen-denominated assets. Such movements would reverse the yen’s recent depreciation, making it a more competitive currency globally. This prediction reflects changing expectations regarding Japanese monetary policy.