GBP Rises Against JPY as Intervention Impact Fades Amid Structural Headwinds

The British Pound has risen against the Japanese Yen as the impact of recent intervention fades. The cross trades around 214.70, up 0.85% on the day, with GBP/JPY edging higher on Monday.

The Japanese Yen underperforms across the G10 currency space due to structural headwinds, limiting the effect of intervention. Japan intervened three times between late April and early May, followed by two more operations in late July, including a rare coordinated move with the United States.

The latest action came after the Yen fell to a 40-year low against the US Dollar, while GBP/JPY climbed to levels last seen in 2008. Both countries have warned that they could intervene again if needed.