Analyst Volkmar Baur from Deutsche Bank said in a report that Japan's upcoming elections could become a turning point for the country and have an adverse effect on the yen. Polls show that in the Senate elections on Sunday, the government faces the risk of losing its majority. He also stated that the possibility of new elections in the House of Representatives cannot be ruled out. This increases uncertainty about future fiscal policy and makes trade negotiations with the United States more difficult, "which will definitely weaken the yen." Baur noted that even without any changes, if the government launches a new fiscal plan in response to the election results but fails to address structural issues, the yen could still decline.