CNBC reports that according to Nikko Asset Management’s John Vailm the Japanese currency will not likely strengthen significantly unless there’s a “negative shock”.

“It would take quite a shock to get (dollar- yen) down to say the 100 level, a negative shock. It’s been very steady in the 104 to 106 region for quite some time and seems like people are satisfied with that level,” said Vail.

Japan’s economic leadership is also very averse to a strong yen, Vail told CNBC.

Japan’s central bank governor Haruhiko Kuroda is “extremely against yen strength” while incumbent Finance Minister Taro Aso is also “very much against” a strong Japanese currency, he pointed out.

Furthermore, any appreciation in the Japanese currency is “not good” for the country’s exporters, the strategist said.

A stronger currency makes a country’s exports more expensive and less competitive in international markets.