According to Odaily Planet Daily, UBS recommends buying the yen and expects that as the market continues to reduce its speculative positions in the yen, the yen will rise by more than 10% against the US dollar by the end of next year.

The bank expects USD/JPY to reach 145 by the end of this year and 130 by the end of 2025.

Strategists including Shahab Jalinoos said there could be further outflows from speculative positions, which could benefit low-yielding currencies. They added that for the yen to fall back above 150, “it would probably require the market to be radically wrong about a significant slowdown in the U.S. economy.”