Mitsubishi UFJ said historical experience shows US-Japan joint interventions typically occur near key USD/JPY turning points but do not always deliver immediate trend reversals; lasting shifts often take months. For example, June 1998 intervention pushed USD/JPY from ~146 to ~136 in days, but the longer-term reversal only emerged after at least two months as Asian crisis dynamics evolved; February 1995 intervention saw USD/JPY fall from ~100 to ~80 before later recovering to ~100 and ending the

Mitsubishi UFJ said historical experience shows US-Japan joint interventions typically occur near key USD/JPY turning points but do not always deliver immediate trend reversals; lasting shifts often take months. For example, June 1998 intervention pushed USD/JPY from ~146 to ~136 in days, but the longer-term reversal only emerged after at least two months as Asian crisis dynamics evolved; February 1995 intervention saw USD/JPY fall from ~100 to ~80 before later recovering to ~100 and ending the prior downtrend. The current joint intervention is significant and may help clear yen short positions in the near term. However, a more durable decline in USD/JPY would likely require material fundamental changes — including higher Japanese real rates and reduced market concern about the government’s fiscal-spending path. Mitsubishi UFJ expects the BOJ to tighten faster than markets currently price, a key rationale for its view that USD/JPY will gradually fall.