Desperately hoping to stop the yen’s rapid depreciation, the Japanese government and the Bank of Japan appeared to have intervened in the currency market for the first time in about two years on Thursday afternoon.
Earlier that day, the dollar was trading above ¥160, levels believed to be a red line for the government and the central bank to conduct yen-buying, dollar-selling interventions.
The last time Japan moved to prop up the currency was in July 2024, and with the dollar climbing back up to those levels, Vice Finance Minister for International Affairs Atsushi Mimura issued a warning, particularly targeting speculative traders.
