US and Japan Support Yen for First Time in 28 Years
The United States and Japan confirmed their first joint intervention in currency markets in 28 years to support the yen, which had fallen to its lowest level in forty years, with the dollar reaching 164 yen in July 2026. Reports indicated that Japan spent approximately $73 billion to support its currency, while officials from both countries stated that the intervention aims to contain excessive fluctuations in the yen's value and stabilize its price. Experts explained that a weak yen benefits Japanese exporting companies such as Toyota and Sony but increases the costs of imports, especially oil, which has risen this year, thereby fueling inflationary pressures in Japan. This intervention came after the Japanese currency's decline due to monetary policies and global market volatility, with both countries prepared to intervene again if the crisis persists.
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