Japan Sets New Record with $40 Billion Yen-Buying Intervention
Japan's Ministry of Finance revealed that it conducted a record-breaking yen-buying intervention in April, selling US$40 billion worth of dollars as part of its efforts to stem the yen's slide. The largest operation took place on April 30, when authorities sold 6.28 trillion yen (US$39.64 billion) in dollars.
This move surpassed the previous single-day record of 5.92 trillion yen spent on April 29, 2024, according to data dating back to 1991. The intervention was carried out over three days from April 30 through May 6, a period when market liquidity was thin due to Japan's Golden Week holidays.
The intervention helped lift the yen from its near two-year low of 160.725 per dollar to around 155 by May 6, but it failed to reverse the currency's broader downtrend. The yen subsequently resumed its downturn, sliding to 40-year lows below 163 per dollar in July, prompting Tokyo to intervene again last week in coordination with Washington.