TOKYO -Japan intervened in the foreign exchange market on Friday to buy yen for the second time in a month after the currency hit a 32-year low near 152 to the dollar, a government official and another person familiar with the matter told Reuters.
After the dollar rose to 151.94 yen, its highest since 1990, the intervention drove the Japanese currency down more than 7 yen to a low of 144.50 yen. The U.S. currency was last down 1.8 per cent at 147.34 yen."We are maintaining our stance of being ready to take appropriate action against excessive forex volatility," Prime Minister Fumio Kishida told reporters on Saturday after meeting with Australia's Anthony Albanese, reiterating that such volatility could not be tolerated.
He added that the ministry would not confirm whether an intervention had taken place for some time yet, signalling possible"stealth intervention" to engage in a war of nerves against investors selling the yen. Finance Minister Shunichi Suzuki and Kanda have repeatedly signalled the government's readiness to intervene, warning against excessive volatility. Suzuki said before the intervention on Friday the authorities were ready to act"strictly" against speculators.