Japan Spent Record $62 Billion to Prop Up Yen in Past Month
- Amount surpasses total used to prop up currency in 2022
- Currency dynamics unlikely to change without Fed, BOJ moves
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Japan spent a record ¥9.8 trillion ($62.2 billion) in the past month to prop up the yen after it fell to a 34-year low against the dollar, surpassing the total amount it used in 2022 to defend the currency.
The finance ministry disclosed figures Friday for the period between April 26 and May 29. The amount exceeded earlier estimates of ¥9.4 trillion based on a comparison of the Bank of Japan’s accounts and money broker forecasts. Japan’s previous monthly intervention record of ¥9.1 trillion was set in very different circumstances when authorities were trying to weaken the yen in autumn 2011.