Forex
US and Japan Stage Surprise Yen Intervention
The US and Japan simultaneously intervened in the foreign exchange market to stabilize the yen's value against the dollar, according to reports from Japan's Nihon Keizai Shimbun.
The sudden intervention came after a sharp drop in the yen's value on January 31st, when it fell to as low as 157.80 yen per dollar at one point during trading.
Market sources cited by the Nikkei reported that US monetary authorities conducted a 'rate check,' a preliminary step to market intervention, under the direction of US Treasury Secretary Scott Bessent.
The Bank of Japan's monetary policy meeting on January 31st is also seen as a key factor in the yen's strength, with the central bank expected to keep its benchmark interest rate at around 1.0%.