ING Bank: Japan may have intervened in the yen exchange rate

According to Odaily, Francesco Pesole, an analyst at ING Group, pointed out that Japanese authorities may have intervened in the yen exchange rate on Thursday and could take further action on Friday when liquidity tightens due to the U.S. holiday. He stated that the dollar/yen pair fell in early trading on Thursday, even before the weak U.S. non-farm payroll data dragged it below 161.00. "We cannot rule out that this initial decline was driven by foreign exchange intervention."

He noted that despite the yen's recovery, the risk of further intervention remains. Japan tends to intervene around holidays and spreads operations over multiple days. He pointed out that taking action after the dollar is affected by adverse events is also consistent with Japan's 2024 strategy. (Jin10)