The yen's slide to 162+ reflects a lack of intervention from Japanese authorities, encouraging further weakness. The AI boom is driving a narrow but powerful equity rally in semiconductors and tech, but risks include a potential hyperscaler spending pullback. The weak yen benefits exporters but pressures JGBs and households.

Japan's weak yen is great for corporate profits and government tax revenues but bad for households via higher import costs. The BOJ is unlikely to intervene aggressively; the real break point will be housing affordability. Takaichi's industrial policy prioritizes corporate Japan first, with wage gains for the young coming later.

President Trump reported at least $1.4 billion in 2025 earnings from crypto and memecoin businesses, far exceeding income from hotels and golf resorts. This renews concerns about profiting from the presidency, with Democrats likely to use it as a campaign issue ahead of midterms.