Currencies

Weak yen boosts value of dollar assets, but realizing gains would risk moving markets

20260201N Japan markets signboard

The yen remains weak against the U.S. currency, boosting the yen value of the government’s dollar assets such as U.S. Treasurys. (Photo by Suzu Takahashi)

SHUNSUKE USHIGOME

February 3, 2026 03:16 JST

TOKYO — Using Japan’s vast foreign currency reserves to help fund the country’s policy priorities suddenly came to the forefront of the campaign for Sunday’s lower house election, but some analysts caution that such a move would raise issues.