Japanese Yen Slides from 3-Month High

2026-01-28 16:35 By Andre Joaquim 1 min. read

The Japanese yen slid past 153.5 per USD, pulling back from the three-month high of 152.2 earlier on Wednesday as the US presidential administration dismissed speculation of a joint foreign exchange intervention with Tokyo to strengthen the yen.

Speculation that Japan was in contact with the US to limit the slide in the yen gained ground after the New York Federal Reserve conducted a rate check on dollar/yen with market dealers on Friday, while Japanese officials signaled close coordination with the US on currency policy and potential market action.

Traders also remain cautious about the risk of unilateral intervention from Tokyo, although Bank of Japan data indicated that authorities have not officially stepped into the market so far.

Still, the yen remains firmly stronger since the start of January as tariff threats by the US against major trading partners triggered a global dollar aversion.

Additionally, the BoJ is likely to extend its hiking cycle this year.



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