Japan Conducts Surprise Yen Intervention as Dollar Plunges Below 158

The Japanese government and the Bank of Japan conducted a surprise yen-buying, dollar-selling market intervention on Thursday night, during New York trading hours. This was the first time in about three months that such an intervention had taken place. The move came as the dollar briefly plunged by about 5 yen to slip below 158 yen, hitting its lowest level since mid-May.

Finance Minister Satsuki Katayama did not issue a prior warning for the intervention, unlike the previous one on April 30. When asked by reporters on Friday morning, Katayama declined to comment on whether Japanese authorities had intervened to prop up the yen.