The yen’s sharp rally against the dollar raises concerns over potential currency market intervention by Japanese authorities.
The Japanese yen surged to its strongest level in 10 weeks against the dollar, trading at 147.50 in early Asian hours. The move intensifies speculation that Tokyo may intervene to stabilize the currency amid rapid depreciation concerns.
The yen has weakened nearly 12% against the dollar this year, prompting warnings from officials about excessive volatility. Last intervention occurred in 2022 when authorities spent over $60 billion to support the currency.
Markets remain on edge as traders assess whether the Bank of Japan will adjust its ultra-loose monetary policy or if government action is imminent.