Yen Undervalued by Up to 20%, Former Japanese Currency Czar Says

The yen is undervalued by up to 20%, according to a former top Japanese foreign-exchange official, who argued that the currency should be roughly 130 yen per US dollar. Speaking in response to speculation that the yen could keep sliding, the official said the move is no longer driven by traditional fundamentals. Instead, they pointed to changes in market expectations as a key factor behind recent weakness. The comments highlight the debate over whether the yen’s trajectory reflects economic drivers or sentiment-driven positioning. While the article does not cite additional figures beyond the 20% estimate and the 130 per dollar level, it underscores the currency’s current stress point and the uncertainty facing observers.