Yen Surrenders Nearly Half Its Gains from US-Japan Intervention

The yen is giving back nearly half of its intervention-driven gains heading into week-end, with traders increasingly speculating that Japanese authorities may intervene again. The reversal suggests intervention support is fading, keeping FX market expectations (and volatility) tilted toward further policy action.

Analysis

The yen is giving back nearly half of its intervention-driven gains heading into week-end, with traders increasingly speculating that Japanese authorities may intervene again. The reversal suggests intervention support is fading, keeping FX market expectations (and volatility) tilted toward further policy action.