The yen weakened to 160.46 per dollar on Monday, its lowest since July 2024,
before recovering to around 159.95 after Japan’s top currency official Atsushi
Mimura warned that “decisive action” may be needed if volatility persists. The
currency had declined for four consecutive days, pressured by higher crude
prices linked to the Iran conflict, which also weighed on Japanese government
bonds. Mimura said speculative activity is rising in both foreign exchange and
oil markets and signaled authorities are prepared to respond broadly. The 160
level is closely watched as Japan last intervened near that threshold in 2024,
with Finance Minister Satsuki Katayama also referencing possible “bold action”
in recent months.
