Société Générale’s prediction this time is quite interesting. The $1.3 trillion foreign exchange reserves are the backing, but growth is the real anchor for the yen—if the stock market rises first, that’s a positive signal.

CoinWorld News: French bank Societe Generale's analysts said in a report that Japanese government authorities may further intervene to support the yen, but a sustained recovery of the currency would require improved growth prospects. Japan still has about $1.3 trillion in foreign exchange reserves to defend the yen, but lower growth expectations should currently limit the currency's gains. However, they said the sharp rise in Japan's stock market suggests the economy may be about to improve. Societe Generale expects the dollar-yen to fall to 157 by the end of the year and to 154 by the second quarter of 2027.