Japan and US Unite in Coordinated Yen-Buying Intervention

The Japanese and US governments have conducted their first coordinated yen-buying intervention in approximately 28 years to address historic yen weakness.

The joint action took place on July 31 (US Eastern time), causing the yen to surge sharply to the upper-157 yen range against the dollar at one point.

Finance Minister Katayama Satsuki is expected to explain the series of measures addressing excessive yen weakness as early as Monday morning, and is set to make a new statement on the policy direction of exchange-rate measures coordinated with the US.

The historic yen weakness has imposed significant burdens on households and businesses through higher import prices, prompting the government and the Bank of Japan to intervene in coordination with the US to curb speculative yen selling and restore stability to the foreign exchange market.