Japan Stayed Out of FX Market in October Despite Yen Around 150
Still, traders are keeping a close eye on the 150 yen to the dollar threshold as the government last stepped into the market to strengthen the yen at around that level. The ministry spent a record of about nine trillion yen last fall to prop up the yen, following the currency’s plunge to a multi-decade low.
Looking ahead, the yen’s weakness is seen to persist after the BOJ expectations that it may take a stronger step in raising its de facto ceiling on 10-year yields. While it increased yield curve control flexibility Tuesday, the yen weakened following the decision, falling past the 150 to the dollar level again.
USD/Yen broke past 150 today.