OCBC strategists suggest recent yen moves indicate Japanese authorities stepped in, shifting focus to 155 from 160.
The Japanese yen’s sharp rebound against the dollar likely reflects intervention by Japanese authorities, according to OCBC strategists. USD/JPY dropped below 158 after approaching 160, a level previously seen as a potential trigger for action.
Earlier this year, Japan intervened when USD/JPY neared 160, prompting a rapid reversal. Market consensus had expected further yen weakness, but recent moves suggest officials remain vigilant. The 155 level is now viewed as the next key threshold.
No immediate market reaction was specified, but traders are monitoring for further signs of official activity.