TOKYO: The yen may extend declines to 140 per dollar and that could trigger the Japanese government to spend US$100bil (RM433.7bil) to limit further losses, according to Bank of America (BofA).
The currency hasn’t weakened to 140 since 1998, but it may be pushed to that level by a fresh surge in Treasury yields, BofA analysts including Shusuke Yamada in Tokyo wrote in a note.
