Yen hits 3-month high after Japan, US buy currency together
What's new: The first joint yen intervention since 2011 may have involved as much as $36.58 billion, with officials warning more action could follow.
The yen climbed for a third straight session after Japan confirmed it bought yen together with the United States to halt the currency’s slide to a 40-year low. The yen briefly strengthened to 155.20 per dollar on Monday, its firmest level since early May, before easing back near 157 on Tuesday while holding most of the gains.
Japan’s Finance Ministry said the two countries acted on Friday and could intervene again. Bank of Japan data indicated Tokyo may have spent as much as $36.58 billion in the operation. Analysts said the rare move, the first coordinated yen intervention since 2011, was aimed at limiting broader spillovers from weakness in the yen and Japanese government bonds into global markets, including US Treasury yields.