US and Japan Coordinate Historic Yen Intervention

The US and Japanese governments have coordinated to stabilize the yen after its recent plunge. The historic intervention aims to prevent wider economic destabilization.

The yen's value has been a concern for months, with economists attributing its weakness to Prime Minister Sanae Takaichi's expansionary fiscal policy, including her push to boost defense spending.

US Treasury Secretary Scott Bessent described the yen as 'very undervalued', suggesting that Washington was concerned about a further selloff pushing up US bond yields, which remain elevated.