The USA and Japan, the first joint intervention in the yen market since 2011

The Japanese Ministry of Finance announced a coordinated intervention to buy yen, in collaboration with the U.S. Treasury, to counteract the chaotic fluctuations of the Japanese currency. U.S. Treasury Secretary Scott Bessent confirmed the action, emphasizing its importance in stabilizing the yen, which recently reached its lowest level in four decades against the dollar.

Japan stated that it is prepared to carry out similar interventions in the future, maintaining close communication with American officials. The intervention was carried out according to a joint statement from 2025 and aimed at reducing excessive volatility of the yen. Japan also intends to use the Federal Reserve's repo facility to obtain short-term dollars.

However, some experts suggest that the method used could undermine confidence in the yen, and selling euros instead of dollars to buy yen surprised the markets, raising questions about the effectiveness of the intervention.