$5B, $10B US Intervention Propels Yen Higher Against Dollar

A memo from US Treasury Secretary Scott Bessent has revealed signs of US intervention to prop up the yen, with a figure of $5 billion to $10 billion cited.

The memo, photographed at a cabinet meeting held at Camp David in Maryland, included notes on actions to take regarding the Japanese currency (JPY).

Reuters reported that the Treasury had notified several banks about possible intervention in the yen market on Friday, citing anonymous sources. The US Treasury had previously considered intervening with Wall Street banks to support the yen's value.

The yen strengthened against the dollar after the memo was taken, with a 0.8% drop in the exchange rate over 40 minutes. This marks the first time since 1998 that Japan and the United States have cooperated to support the yen through direct purchases of the currency.