Japan and US Stage Rare Currency Market Intervention

The Japanese and US governments have intervened in the currency market for the first time in 15 years, purchasing yen to stabilize its value against the US dollar. The joint intervention occurred on Friday during New York trading hours after the yen hit a 40-year low of 163.99 to the US dollar on July 23. According to Finance Minister Satsuki Katayama, the move was taken in accordance with the US-Japan Finance Ministers' Joint Statement issued in September 2025.

The intervention aimed to counter excessive volatility and disorderly movements of the Japanese yen, which had been weakening against the dollar. Katayama stated that Japan's Ministry of Finance remains attentive and in close communication with their counterparts at the US Treasury, suggesting that further joint interventions may be necessary.