Bessent's 'to do' list: buy $5-10 billion worth of Japanese yen, Reuters photo shows
Reuters said a photo showed Scott Bessent’s note on buying yen, as Treasury alerted banks to possible intervention to support the currency.
- On Friday, the United States Treasury intervened in currency markets by selling euros to buy Japanese yen, marking Washington's first joint yen-buying action with Tokyo in over a decade.
- Treasury Secretary Scott Bessent signaled the move during a cabinet meeting at Camp David, Maryland, where his notepad displayed the handwritten directive: "To Do Buy Japanese Yen $5-10 bil."
- The Federal Reserve Bank of New York executed the trade through Goldman Sachs and Morgan Stanley, helping the yen rebound to about 157.6 against the dollar from near 164 in recent weeks.
- Japan intervened Thursday to address historic lows, with officials posting that monetary authorities maintain "a broad range of tools to address market liquidity needs," including potential FIMA repo facility access.
- Kyodo News reported Saturday that the United States and Japan may unveil a coordinated policy as early as next week to address the yen's weakness and deter speculative market bets.
24 Articles
24 Articles
Signs of Unusual US Foreign Exchange Market Intervention… Large-Scale Buying to Prevent Yen Weakness
It has been revealed that the U.S. Treasury Department carried out the purchase of $5 billion to $10 billion worth of yen to defend against the sharp decline in the value of the yen. Secretary Scott Besant's memo and the New York Fed's direct intervention through major banks have been confirmed, and this is drawing attention as the first instance of cooperation between the U.S. and Japan in defending the value of the yen since 1998.
Historical intervention on the yen market by the United States. Japan, struggling with the collapse of its currency, is operating in a massive way selling US government bonds to restrain it. Washington, struggling with the rise in returns due to inflation and split in the Fed, intervenes in turn, selling euros. The mystery of the leaflet on the Treasury Secretary Scott Bessent's table
The United States Treasury intervened in the yen exchange market on Friday, marking the first time in almost 30 years that Tokyo and Washington acted together to support the Japanese currency through direct purchases. The information is from the English newspaper Financial Times. The New York Federal Reserve Bank conducted the unusual transaction of selling euros to buy yen on behalf of the American Treasury, according to three people familiar w…
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