The Japanese yen has once again given ground against the dollar in recent sessions, returning to levels seen at the beginning of September. This Thursday, the exchange rate has again reached the level of 160 yen per dollar, a pullback by the Japanese currency that could prompt Japan’s authorities to consider a new move in the foreign exchange market.
Since Tuesday, the currency of the Asian country has gone from being exchanged slightly above 157 yen per dollar to being positioned, just three days later, close to 160 yen per unit of the US currency. This threshold had not been reached since the first days of September, when the yen subsequently strengthened to 153 yen per dollar.
In this context, Atsushi Mimura, the top official of the Japanese Executive in matters of currencies, has said that the yen’s loss of value in recent days has been “too rapid” and has also stressed that it is “too soon” to forget what happened over the summer, as reported by the Japanese agency Kyodo.
Between July and August, the Governments of Japan and the United States carried out a coordinated intervention in the foreign exchange market to support the yen’s recovery against the dollar, after the Japanese currency reached 164 yen per dollar in July, its highest level in nearly four decades.
In light of these references and Mimura’s recent remarks, expectations are increasing in Japan’s foreign exchange market that the authorities may once again consider a possible intervention to curb the yen’s depreciation.