Japan and the U.S. conducted coordinated yen-buying intervention and will not hesitate to take further action, the Finance Ministry in Tokyo said \u200bMonday, confirming a rare bilateral action to halt the yen\u2019s slide to fresh 40-year lows.<\/p>\n
Preceding the \u200cannouncement, U.S. President \u200cDonald Trump said on Sunday the United States is helping Japan to \u200bprop up the yen as a sign of friendship and to help the world economy.<\/p>\n
\u201cThey have a weakening yen, and they wanted a little bit of help. And we\u2019re always there for \u2060Japan,\u201d Trump said when he was asked by a reporter why the U.S. is helping to support the \u2060yen.<\/p>\n
The dollar fell 0.2% to \u00a5157.07 after Trump\u2019s remarks, well off the 40-year high near \u00a5164 hit late last month.<\/p>\n
In a statement, the Ministry of Finance \u200bsaid it conducted joint yen-buying intervention with \u2060the U.S. Treasury Department on Friday.<\/p>\n
The move \u201ccountered excessive volatility and disorderly movements in the Japanese yen in recent months,\u201d the statement said.<\/p>\n
\u201cThe Japanese Ministry of \u2060Finance remains attentive \u200band in close communication with our counterparts at the U.S. Treasury. We will \u200bnot hesitate to conduct further joint intervention,\u201d it said.<\/p>\n
The joint intervention is the \u200bfirst since \u200c2011, when the two countries took coordinated action to weaken the yen in the aftermath of the earthquake in eastern Japan.<\/p>\n
Japan has been struggling to curb a relentless drop in the yen that pushes up import prices and stokes broader inflation, hitting households\u2019 wallets and Prime \u200cMinister Sanae Takaichi\u2019s public approval ratings.<\/p>\n
Japan may have sold as much as $58.97 billion to buy yen when it intervened in New York markets on Thursday, Bank of Japan data indicated, followed by another suspected move on Friday.<\/p>\n
On Friday, the U.S. Treasury told a number of banks it too might intervene in the yen market, \u200ba \u200bsource said, while Treasury Secretary Scott Bessent \u2014 who had said the \u200byen \u201cseems very undervalued\u201d \u2014 had a handwritten \u201cTo Do\u201d list at a Cabinet meeting that said, \u201cBuy Japanese Yen (JPY) $5-10 bil,\u201d a photo showed.<\/p>\n
In line with Bessent\u2019s repeated calls for higher Japanese interest rates, the Bank of Japan on Friday offered its most explicit signal to date of an early rate hike, even as it kept monetary policy steady.<\/p>\n
In a sign of broader policy coordination, South Korea stepped \u200bin to buy its won currency on Thursday.<\/p>\n
Japan intervened in April and May, buying yen, causing only a brief rebound. The BOJ\u2019s June rate hike to a 31-year high of 1% also gave the struggling currency little lasting boost.<\/p>\n","protected":false},"excerpt":{"rendered":"Japan and the U.S. conducted coordinated yen-buying intervention and will not hesitate to take further action, the Finance…\n","protected":false},"author":2,"featured_media":67843,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[4254,2385,3074,8,426,2640,84,1203],"class_list":["post-67842","post","type-post","status-publish","format-standard","has-post-thumbnail","category-japan","tag-dollar","tag-finance-ministry","tag-forex","tag-japan","tag-satsuki-katayama","tag-scott-bessent","tag-u-s","tag-yen"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/posts\/67842","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/comments?post=67842"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/posts\/67842\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/media\/67843"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/media?parent=67842"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/categories?post=67842"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/japan\/wp-json\/wp\/v2\/tags?post=67842"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}