The Japanese yenBrendan McKenna, Wells Fargo Securities’ Brendan McKenna said that the U.S. Dollar may still be weak if policies of Bank of Japan or Federal Reserve diverge.

McKenna said Wednesday that he saw a rise through 130 and that it was possible.

We believe that if BOJ policymakers continue to adhere to their easy monetary policies…, then we can see a shift towards perhaps 135 [yen per dollar]”It could happen in the near future,” said the foreign currency strategist.

The yen lost nearly 6% in March against the greenback, and it continues to lose in April.

The Japanese currency struggled to make gains against the US dollar due to expectations that the Bank of Japan would fall behind other banks, including the U.S. Federal Reserve.

The yen was able to partially recover against the dollar on Wednesday after the Bank of Japan said it would offer to buy an unlimited amount of 10-year Japanese government bondsAt 0.25% Last traded at around 128.20 USD, representing an increase of more than 5% against the greenback in this month’s first quarter.

Sim Moh Siong from Bank of Singapore says, despite the weakness in the Japanese currency, the alarms are still not going off for the Japanese currency.

Sim, a currency strategist with the firm, stated that Japanese authorities so far have resorted more to verbal interventions than to the historic method of buying and selling dollars.

He said that the Bank of Japan appeared to be ready “stay dovish” by purchasing unlimited amounts of bonds.

He said, “If you take a look at historical episodes…the intervention level tends cluster around the 127-132 levels.” I believe we need to have a higher dollar-yen level to be able prompt intervention.