«NISA weak yen» vs «MOF strong yen»—the course ahead!

One main justification for the ongoing depreciation of the yen this year is the fading expectations for rate cuts in response to strong U.S. economic data, but as for supply and demand factors, there is significant activity in overseas stock investments through individual NISA accounts. The Ministry of FinanceNISAis a major channel for overseas stock investments. The Ministry of(MinistryofFinance)continues to engage in verbal interventions, but will they stem the current yen depreciation? Here is an explanation.