Yen Holds Decline as Bessent Dismisses Intervention

2026-01-29 01:56 By Jam Kaimo Samonte 1 min. read

The Japanese yen held around 153.2 per dollar on Thursday, following a nearly 1% decline in the previous session, as the greenback rebounded after US Treasury Secretary Scott Bessent dismissed speculation of US intervention in the currency market to sell dollars against the yen.

Bessent reaffirmed that the US maintains a “strong dollar policy” and said that solid fundamentals should attract capital inflows, contrasting with President Donald Trump’s earlier indications that a weaker dollar would be acceptable.

Earlier this week, the yen surged roughly 4% to a three-month high amid speculation of a potential joint US-Japan intervention to prop up the yen, following a rate check by the New York Federal Reserve.

Traders remain cautious about the risk of unilateral action from Tokyo, although Bank of Japan data shows that authorities have not officially intervened in the market so far.

Political uncertainty also weighed on the yen in the run-up to the Feb. 8 lower house snap election.



News Stream
Yen Languishes Near 1-Month Low
The Japanese yen traded around 160 per dollar on Monday, hovering near one-month lows as the dollar strengthened following hawkish remarks from Federal Reserve Chair Kevin Warsh that boosted expectations for a US rate hike in September. Markets are now pricing in around a 57% chance that the Fed will raise rates by 25 basis points next month, up sharply from about 40% a week ago. Traders are also betting on a potential Bank of Japan rate increase in September amid concerns over yen weakness and import-driven inflation. The yen has retraced more than half of its gains following the joint Japan-US currency market intervention in late July, with persistent structural weakness continuing to weigh on the currency. The yen remained under pressure from wide interest rate differentials, growing fiscal concerns in Japan and elevated oil prices linked to the Middle East conflict. The currency is set to lose about 1.5% for the month.
2026-08-31
Japanese Yen Hits 4-week Low
The Japanese Yen touched 159.84 against the USD, the lowest since July 2026. Over the past 4 weeks, US Dollar Japanese Yen lost 2.23%, and in the last 12 months, it increased 8.71%.
2026-08-28
Yen Pressured by Weak Fundamentals
The Japanese yen traded around 159.4 per dollar on Friday, struggling to extend gains from the joint intervention by Tokyo and Washington nearly a month ago as persistent structural weakness continued to weigh on the currency. The wide interest rate gap between Japan and other major economies continued to weigh on the yen, prompting investors to borrow at low rates in the currency and seek higher returns in overseas assets. Rising fiscal concerns in Japan and elevated oil prices linked to the Middle East conflict further reinforced the bearish outlook for the yen. On the monetary policy front, the Bank of Japan is increasingly expected to raise interest rates in September amid concerns over currency weakness and import-driven inflation. Meanwhile, data showed Japan’s unemployment rate fell to 2.4% in July, the lowest in a year, while Tokyo’s inflation rate accelerated to a five-month high in August.
2026-08-28