Yen Shows Stability Amid Fresh Intervention Speculation
The Japanese yen has shown some stability after a sharp advance earlier in the day sparked speculation about fresh currency intervention. The yen ended the New York trading session around 157 per US dollar, roughly where it was when the US trading session started.
Earlier in Tokyo, the yen swung from a small decline to gain as much as 1.4 per cent versus the US dollar, before paring much of the move. The currency has been under pressure from rising oil prices, Japan's persistent budget deficits and a yawning interest-rate gap with the US and other major economies.
US Treasury Secretary Scott Bessent said the US would not hesitate to step into the market again, while Finance Minister Satsuki Katayama confirmed the first joint intervention with the US in currency markets in 15 years.