Yen Soars as Japan Intervenes in FX Markets Amid Hawkish BoJ Tone

The yen surged after suspected Japanese intervention in the foreign exchange market yesterday.

The sharp drop in the dollar against the yen, reaching as much as 3.3%, raised eyebrows and sparked suspicions of intervention.

Reports later confirmed that the government had indeed stepped into the FX market to buy yen and sell dollars.

The Bank of Japan (BoJ) kept interest rates steady, signaling further hikes in the coming months, with one member voting for a rate hike at this gathering.