Yen Rises for Third Straight Session as Japan and US Coordinate Intervention

The Japanese yen rose for the third straight session on Monday, August 3, against both the US dollar and euro. The appreciation of the yen comes as Japan and the United States conducted a coordinated intervention to support the currency last week.

According to Bank of Japan data, Tokyo may have bought up to $58.97 billion worth of yen on July 30. This move has been seen as an attempt to prop up the yen, which has been under pressure for years due to the central bank's gradual approach to monetary policy tightening.

Rabobank senior forex strategist Jane Foley noted that the 200-day moving average close to 158 is likely to act as resistance for the yen. Analysts at Barclays argued that even if the yen were to strengthen further in the near term, longer-term downward pressures remain in place.