Japan and US Collaborate on Joint Yen Intervention

The Japanese government and the US Treasury Department have taken joint action to stabilize the yen's value against the dollar. According to sources, Finance Minister Satsuki Katayama will announce on Monday that Tokyo and Washington collaborated in buying yen to arrest its slide to 40-year lows.

This is the first joint intervention by the two countries since 2011. The operation is still ongoing, with one source confirming that the Japanese government has been purchasing yen for dollars in New York trading hours. The Bank of Japan data suggests that it sold as much as $58.97 billion to support the yen.

The move comes after what market sources say were rounds of yen-buying by Japanese and US authorities, seeking to boost the Japanese currency from its lowest levels against the dollar since 1986. The widening rate differential between the two countries has been a key factor in the dollar's rise against the yen.