The Japanese yen is one of the most important and influential currencies in the global financial system. The currency has been on a prolonged decline relative to the US dollar since late 2021 as the US-Japan interest rate differential widened sharply, making US dollar assets more attractive. This interest-rate differential remains wide despite the Bank of Japan (BOJ) increasing rates.  

The BOJ can intervene to prop up a weakening yen, as we saw in April and July 2026. These measures, however, can have consequences that reach far beyond its borders.  

What’s the first thing that comes to mind when you think about the “AI technology revolution”?

Large hyperscalers? Applied AI leading to new medical breakthroughs? AI agents doing all your work for you, such as managing your diary, handling client relationships or booking your holidays?

Let us tell you what we think.

We think about… steam railroads.

Judo Bank's 40% share plunge raises a bigger question: is this an isolated event, or an early warning sign for Australia's credit cycle?