Japan Intervenes to Support Yen

Officials aim to curb sharp swings driven by the wide U.S.–Japan interest-rate gap.

Overview

The yen strengthened after Thursday’s reported intervention, with the dollar touching about ¥155.60 on Friday and heading for its biggest weekly fall since early February.
Bank of Japan figures published Friday indicate authorities may have spent up to ¥5.48 trillion, or roughly $35 billion, to buy yen.
Currency chief Atsushi Mimura said Friday that Tokyo stands ready to act again and that officials remain in extremely close contact with U.S. counterparts.
Analysts say the yen stays under pressure because U.S. rates are far higher than Japan’s and because pricier oil raises Japan’s import bill.
Low trading volumes during Japan’s Golden Week can amplify moves, and past episodes in 2022 and July 2024 show authorities sometimes follow an initial step with more intervention.