The United States and Japan jointly purchased the yen last Friday, marking the first coordinated currency market intervention between the two nations since 2011, aimed at curbing excessive volatility after the yen fell to a 40-year low.
Japanese Finance Minister Satsuki Katayama confirmed on Monday that the intervention was conducted during New York trading hours, based on the September 2025 joint statement by US and Japanese finance ministers, to address recent "excessive volatility and disorderly movements" in the yen. She stated that the Ministry of Finance would remain vigilant and maintain close communication with the US side, adding that "further joint intervention will be taken without hesitation if necessary."
US President Donald Trump confirmed on Sunday that the US participated in the action, describing it as a "sign of friendship" at Japan's request and stating that the US "always supports Japan." Reports indicate that the Federal Reserve Bank of New York, on behalf of the US Treasury, sold euros to buy yen, with the scale estimated between $5 billion and $10 billion.
The yen had previously fallen to 163.99 against the US dollar on July 23, its lowest level in nearly 40 years. Following the announcement of the joint intervention, the yen briefly rose to around 155. However, analysts believe that due to structural factors such as the interest rate differential between the US and Japan and energy import costs, the yen's long-term downward pressure remains.
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