Japan discloses record 7.98 trillion yen single-day intervention
Japan’s July–August yen purchases totalled about US$97.16 billion, but expectations of further US rate rises have kept pressure on the currency.
- Japan spent a record 7.98 trillion yen (approximately US$50.4 billion) in a single-day currency intervention on July 30.
- This record spending was part of a larger 15.399 trillion yen intervention conducted over July and August to counter the yen's weakness.
- The intervention was a coordinated effort with the United States, marking the first such joint action to strengthen the yen since 1998.
- The action was prompted by the yen falling to a 40-year low, approaching 164 per US dollar.
Japan disclosed on 9 November 2026 that it spent a record 7.98 trillion yen buying its currency on 30 July, as authorities sought to reverse persistent pressure on the yen.
The single-day operation, worth approximately US$50.4 billion or THB1.68 trillion, formed part of 15.399 trillion yen in purchases during July and August, equivalent to about US$97.16 billion.
Spending exceeds April–May intervention
The July–August total exceeded Japan’s intervention spending in April and May, reflecting growing concern over the currency’s weakness and the difficulty of reversing its downward trend.
The yen had fallen close to 164 per US dollar earlier in the year, its weakest level in 40 years.
Rare joint action with United States
Japanese Finance Minister Satsuki Katayama and US Treasury Secretary Scott Bessent confirmed that the two countries jointly intervened to support the yen in late July. It was their first coordinated operation to strengthen the Japanese currency since 1998.
The intervention initially lifted the yen, but the currency was trading at around 158.20 per dollar as investors increased their expectations of further interest-rate rises by the US Federal Reserve.
Those expectations have reinforced the view that the wide gap between US and Japanese interest rates will persist, maintaining pressure on the yen.
Weak yen shapes Japan’s monetary policy outlook
During the summer, Bessent backed Japan’s efforts to address excessive yen weakness and highlighted the currency’s role in pushing up inflation within Japan.
His remarks fuelled speculation that the Bank of Japan (BOJ) could accelerate monetary tightening.
The BOJ raised its policy rate to 1.25% in September, with another increase expected before the end of 2026.
The central bank has identified yen depreciation as an important factor influencing Japan’s economic and inflation outlook.
