Yen Rebounds Past 160 as MoF Likely Intervenes with Record-Selling Spree

The Japanese yen has rebounded to over 160 per dollar after a likely intervention by the Ministry of Finance.

The probable move was triggered by the MoF's $74.2 billion in selling on May 27th, which brought relief from pressure caused by high energy prices and fiscal concerns.

The war in Iran has driven up LNG and petrol prices, increasing dollar bids from Japanese energy importers and putting pressure on growth due to lower margins.

The domestic tax panel's proposal to cut food taxes to 1% from the current 8% also added to yen supply through fresh debt.