Yen Soars on Weak US Data, Fuels Intervention Speculation

The US GDP growth rate slowed to 1.5% in Q2, despite strong consumer spending and business investment.

This weak print pulled down US front-end yields, making a tactical case for selling USD/JPY.

However, the speed of the yen's move sparked speculation about Japanese intervention, particularly given the crowded trade and lower yields.

The timing fit Japan's playbook: striking into weak US data when momentum, positioning, and lower yields amplify the impact.