S&P says Japan’s currency intervention to support the yen after 40 years

• S&P says Japan’s currency intervention to support the yen was aimed at preventing the yen from falling further after 40 years.
• Intervention totaled 31 trillion yen: Kaznacheystvo SShA (U.S. Treasury) says that Japan’s government carried out currency intervention to support the yen; the U.S. dollar index rose by 157 yen per dollar.
• Expert opinion: the reason for the yen’s strengthening is the “exchange rate corridor” set by Japan’s central bank, which is intended to keep the yen from falling.

S&P says Japan’s currency intervention to support the yen was aimed at preventing the yen from falling further, as the yen’s exchange rate had been weakening for 40 years. According to Al Jazeera, the intervention was aimed at curbing the role of the dollar in global financial markets and at strengthening the yen’s position in international trade.

Al Jazeera notes that the scale of the intervention was 31 trillion yen: the U.S. Treasury says that Japan’s government carried out currency intervention to support the yen. In addition, the publication states that, according to its calculations, the yen’s exchange rate had risen by 157 yen per dollar. Forbes also writes that Japan’s interventions were aimed at supporting the yen’s exchange rate, and that the yen had strengthened in response.

Forbes claims that the yen’s strengthening was due to the “exchange rate corridor” set by Japan’s central bank, which limited the yen’s fall and helped keep the yen from weakening further. The material also notes that, despite the intervention, the yen’s exchange rate remained under pressure, and that the yen’s strengthening was temporary.

Al Jazeera, meanwhile, says that the intervention was intended to protect Japan’s economy from the impact of a stronger dollar. The material adds that the Bank of Japan has been buying yen and selling foreign currency for years, and that this has helped keep the yen from falling.

According to Al Jazeera, the intervention was aimed at keeping the yen within a certain range, and that the yen’s exchange rate was set to rise. The material also notes that, while the intervention may have helped temporarily, it did not solve the underlying economic problems. Forbes, in turn, says that the intervention’s impact was limited and that the yen’s strengthening did not last long.

Tags: USA/Economy