The Japanese yen has weakened against the dollar, reaching a five-month low of 156.7 yen per dollar. This depreciation has heightened concerns about potential government and Bank of Japan (BOJ) intervention in the currency market. Recent policy meetings by the U.S. Federal Reserve and the BOJ have led traders to scale back expectations of a quick narrowing of interest rate differentials between the U.S. and Japan, further pressuring the yen. Hedge funds are betting on the yen weakening to 165 against the dollar in the coming months, while leveraged funds have increased their bullish positions on the dollar-yen pair, anticipating a rise of up to 5%. Amid these developments, BOJ Governor Kazuo Ueda's cautious approach to policy normalization has contributed to the yen's weakness.