Yen at 140 Opens Door to More Weakness But Not Intervention This Time

  • Japan intervened three times last year, spending $65 billion
  • Easing trade deficit, tourist arrivals to help support yen
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The yen is close to hitting a bottom against the dollar, and is unlikely to weaken to levels requiring Japan’s intervention, analysts said.

The currency has declined more than 6% this year, touching 140.23 on Thursday. It’ll probably bottom out at around 142-143 yen, with an improving trade account and higher tourism arrivals offering support, according to Market Risk Advisory.