Yen anticipates intervention if it crosses 150 against the dollar, says ‘Mr Yen’
2023.09.28 05:16
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Eisuke Sakakibara, also known as ‘Mr Yen’, has projected that Japan may intervene if the yen crosses the 150 mark against the dollar, with concerns escalating at a level of 155. Sakakibara, who is currently leading the Institute for Indian Economic Studies, expressed these views on Thursday.
Sakakibara went on to suggest that Japan might be able to withstand a weaker yen while keeping an eye on policy changes by the US Federal Reserve. He predicts a shift in the strength of the yen following adjustments to US policy.
Drawing from past trends, Sakakibara referenced interventions from last year when $60 billion were spent around the 146 and 152 marks. He anticipates similar expenditures in the future should the yen’s value continue to rise.
Looking ahead, Sakakibara pointed out potential changes that could come into play post the December meeting of the Federal Reserve. Additionally, he highlighted possible hikes in Japanese interest rates next year. These factors are expected to have a significant impact on the currency’s value and could trigger interventions similar to those seen in the past.
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