I’m not as big a fan of Warren Buffett as most, but I thought his comments from his 1987 annual report fit item 2 on my yen post.
“We continue to have an aversion to long-term bonds (and may be making a serious mistake by not disliking medium-term bonds as well). Bonds are no better than the currency in which they are denominated…”
Japan is the most leveraged of all the developed nations and their most reliable debtor their own aging citizens have entered the spending phase. For their currency and their bonds to be attractive to other debtors, their rates need to be competitive with the United States and Germany, and their currency need to be appropriately valued.
If you do not like Japanese bonds, neither should you like Japanese yen.