[Yen Falls to a Nearly 40-Year Low, Bank of Japan May Signal Further Rate Hikes] According to a report by Jinse Finance on July 27, citing Reuters, the yen has recently fallen to its lowest level in nearly 40 years. Japanese Prime Minister Sanae Takaichi stated that enhancing economic growth potential and driving economic strength would help restore market confidence in the yen. The Bank of Japan is expected to keep interest rates unchanged at 1% during the policy meeting ending on July 31, but it may signal further rate hikes to address yen weakness and inflationary pressures. A Reuters survey shows that most economists expect the Bank of Japan to raise interest rates to 1.25% by the end of the year.