US Treasury acquired yen in July, its first intervention since 1998, as yen nears 160 again
Positioning looks set to turn more cautious as the pair approaches the summer's intervention zone, and turbulence could spike on any further rate checks. The US Treasury acquired Japanese yen in the third quarter, its first yen-buying intervention since 1998, whereas the Federal Reserve did…
In this article
In the latest Japanese yen update, Positioning looks set to turn more cautious as the pair approaches the summer's intervention zone, and turbulence could spike on any further rate checks, according to investingLive. The US Treasury acquired Japanese yen in the third quarter, its first yen-buying intervention since 1998, whereas the Federal Reserve did not intervene in currency markets on its own account, the Federal Reserve Bank of New York stated on Thursday.
Key points
- The New York Fed purchased around 79 billion yen, worth roughly $500 million, in the spot market on 31 July.
- The combined action worked swiftly: between 30 July and 3 August, dollar-yen dropped from about 164 to about 155.
- Now that the US is on record as a willing partner.
- Rate expectations still favour the US currency, though, because the US economy is resilient and inflation is high.
- It put its own money behind the yen this summer, Washington has now acknowledged.
What happened: Japanese yen
Rate expectations still favour the US currency, though, because the US economy is resilient and inflation is high. It put its own money behind the yen this summer, Washington has now acknowledged. The New York Fed purchased around 79 billion yen, worth roughly $500 million, in the spot market on 31 July, according to the release.
The combined action worked swiftly: between 30 July and 3 August, dollar-yen dropped from about 164 to about 155. Now that the US is on record as a willing partner, any renewed push toward 160 and beyond looks set to meet more robust resistance from both governments.
Why Japanese yen matters for traders
The yen is driven by the gap between Japanese and overseas interest rates and by its role as a safe haven. Changes in Bank of Japan policy or intervention risk can trigger fast moves in USD/JPY.
Because many carry trades are funded in yen, sudden shifts in Japanese policy can ripple through global markets.
Market reaction and data
Crypto prices at the time of writing, from Binance spot data (2026-11-13 00:09 UTC):
| Asset | Last price (USDT) | 24h change | 24h high | 24h low |
|---|---|---|---|---|
| Bitcoin (BTC) | 71,370.56 | -3.44% | 74,217.49 | 71,113.06 |
| Ethereum (ETH) | 2,016.93 | -1.81% | 2,066.42 | 1,983.82 |
| Solana (SOL) | 81.68 | -1.99% | 83.92 | 80.46 |
On the currency side, the latest ECB daily reference rates (2026-11-12) show EUR/USD 1.1081, GBP/USD 1.3256, AUD/USD 0.6821, NZD/USD 0.5556, USD/JPY 159.7, USD/CHF 0.8331, USD/CAD 1.4249, USD/CNY 6.6683. These are reference fixes, not live quotes.
What to watch next for Japanese yen
Watch for Bank of Japan guidance, comments from Japan's finance ministry about currency moves, and US yields, which strongly influence USD/JPY.
Key scheduled releases on the economic calendar:
- USD Core PPI m/m on Fri Nov 13, 13:30 UTC, forecast 0.3%, previous 0.7%
- USD PPI m/m on Fri Nov 13, 13:30 UTC, forecast 0.4%, previous 1.3%
Follow every update in our Top 10 Forex News Today, read UBS sees no RBA cuts until late 2027 as AI boom fuels inflation, growth slowing to 1.4% or see all of today's top market news.
FAQ
What is the latest Japanese yen news?
Positioning looks set to turn more cautious as the pair approaches the summer's intervention zone, and turbulence could spike on any further rate checks.
Why is the yen called a safe haven?
Japan is a large creditor nation, so in times of stress Japanese investors bring money home and traders close yen-funded positions, which tends to lift the currency.
Where does this information come from?
This report is based on coverage from investingLive, checked against market data where available. It is a summary for information only and not investment advice.
Risk warning: This article is for information only and is not investment advice. Trading forex, CFDs, stocks and crypto carries a high risk of losing money. Prices move fast – check live quotes before you trade.
