Fiscal worries and BOJ pause could prompt the currency to test the 155 level

20251009 yen weakness

Despite some positive economic data, investors have backpedaled on their expectations that the Bank of Japan will raise interest rates soon. (Photo by Akira Kodaka)

JADA NAGUMO and LISA KIM

October 9, 2025 13:12 JST

TOKYO — The Japanese yen is set to weaken further, according to market experts, as new ruling party leader Sanae Takaichi’s support for expansionary spending and loose monetary policy pushes investors to sell the currency.