Japan Warns of Action as Yen Hits ¥161.80 Near 40-Year Low
Updated
Updated · The Japan Times · Jun 19
Japan Warns of Action as Yen Hits ¥161.80 Near 40-Year Low
3 articles · Updated · The Japan Times · Jun 19
Summary
¥161.80 per dollar briefly pushed the yen to the brink of its weakest level since 1986, prompting Finance Minister Satsuki Katayama to say Japan would act "decisively" if needed.
U.S. rate-hike expectations kept pressure on the currency even after the Bank of Japan raised rates to 1% on Tuesday, a move markets had already priced in.
Katayama's warning was milder than the language used before this year's intervention, and economists said officials may doubt they can reverse the weak-yen trend in current market conditions.
Japan spent ¥11.73 trillion, about $73 billion, supporting the yen from April 28 to May 27; the 2024 intervention threshold was ¥161.95, just above the latest low.