{
  "id": 69760,
  "title": "US and Japan jointly intervene to prop up yen in rare move",
  "url": "https://urgent.news/2026/08/03/us-and-japan-jointly-intervene-to-prop-up-yen-in-rare-move-69760",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-03T03:13:00.000Z",
  "source": {
    "name": "MyJoyOnline Ghana",
    "slug": "myjoyonline-ghana",
    "url": "https://www.myjoyonline.com/us-and-japan-jointly-intervene-to-prop-up-yen-in-rare-move/"
  },
  "original_language": "en",
  "account": "Japan and the United States have jointly intervened in foreign exchange markets to stabilize the yen, which had plummeted to a 40-year low following a record slide. This rare coordinated effort is the first of its kind since 2011, when both nations implemented similar measures in response to the catastrophic earthquake and tsunami that struck Japan. Neither the Japanese finance ministry nor US Treasury Secretary Scott Bessent ruled out the possibility of conducting joint interventions in the future, emphasizing their commitment to preventing the yen's decline from impacting the global economy and hiking interest rates for the United States.\n\nShigeto Nagai, head of Japan economics at Oxford Economics, explained that the joint intervention serves the US's national interest by potentially reducing borrowing costs. The two countries are expected to continue these coordinated interventions intermittently for an unspecified period, which could deter speculators. The yen's decline is primarily attributed to Japan's historically lower central bank interest rates compared to other major economies such as the US. This lower interest rate environment makes the Japanese currency less appealing to international investors.\n\nJapan's central bank, the Bank of Japan, raised interest rates in June to 1%, its highest level since September 1995, amid a weak economy characterized by a declining working-age population, low productivity, and heavy reliance on energy imports priced in US dollars. Japan's Finance Ministry confirmed on Friday that their intervention with the US Treasury Department successfully countered excessive volatility and disorderly movements in the yen.\n\nUS Treasury Secretary Bessent expressed strong support for Japan's decisive market and monetary steps, stating that they aimed to correct the substantial undervaluation of the yen. US President Donald Trump echoed these sentiments, remarking, \"They have a weakening yen, and they wanted a little bit of help. And we're always there for Japan.\" The dollar experienced a slight drop of 0.2% to 157.07 yen following Trump's comments, and later rose back to 157.70 yen after the Japanese Finance Ministry's statement.\n\nWhile the US has not disclosed the exact size of its intervention, a Reuters photograph of a notepad in front of Bessent during a cabinet meeting revealed a note stating, \"To Do: Buy Japanese Yen $5-10 bil.\"",
  "summary": "Japan and the US have confirmed that they jointly intervened last week to halt a slide in the yen after it weakened to a fresh 40-year low.",
  "key_points": [
    "US and Japan jointly intervene in foreign exchange markets to stabilize yen.",
    "First coordinated effort since 2011, following Japan's catastrophic earthquake and tsunami.",
    "Intervention aims to prevent yen's decline from impacting global economy and US interest rates."
  ],
  "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."
}