{
  "id": 4003391,
  "title": "Bessent defends yen support, cites US borrowing cost risks",
  "url": "https://urgent.news/2026/08/28/bessent-defends-yen-support-cites-us-borrowing-cost-risks",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-28T17:49:35.000Z",
  "source": {
    "name": "Investing.com",
    "slug": "investing-com",
    "url": "https://www.investing.com/news/economy-news/bessent-defends-yen-support-cites-us-borrowing-cost-risks-4881714"
  },
  "original_language": "en",
  "account": "Treasury Secretary Scott Bessent recently defended the U.S. decision to support the yen in late July, citing the risk of higher interest rates due to extreme currency volatility. In a letter responding to a query from Democratic Senator Elizabeth Warren, Bessent explained that disorderly yen markets could lead to forced sell-offs, destabilizing global markets and raising borrowing costs for American families and businesses. He did not disclose the specific amount of U.S. funds deployed, stating that it utilized existing foreign-currency assets from the Exchange Stabilization Fund. This intervention marked the first time the U.S. bought yen since 1998, and it involved a record $96.4 billion spent by Japan in the past month to support the currency. Warren had asked Bessent to explain the Treasury's actions, to which he affirmed that his department had followed the statute authorizing the use of the Exchange Stabilization Fund to deal in foreign exchanges for the purpose of supporting orderly exchange agreements. Bessent emphasized that no credit was extended to Japan, and that the country owed the U.S. nothing. He also noted that the yen had already lost some of the gains from the intervention, falling below 160 per dollar for the first time since late July.",
  "summary": null,
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}