The U.S. Treasury and Japan conducted a joint intervention on Friday to buy yen and support the currency as it languishes near 40-year lows. This marks the first time Washington has intervened with Tokyo to buy yen in more than a decade, representing the first direct support for the currency since 2011.
The Federal Reserve Bank of New York carried out the operation on behalf of the Treasury, selling euros to buy yen through Goldman Sachs and Morgan Stanley. Market sources reported the joint yen-buying rounds conducted by both nations.
Finance Minister Satsuki Katayama is expected to speak on Monday, where she is anticipated to stress the determination of both countries to combat what they consider excessive yen declines.