Japanese currency market intervention
The Bank of Japan's key actions
Reuters, TOKYO, September 22 - In response to the central bank's decision to retain the ultra-low interest rates that have been devaluing the currency, Japan intervened in the currency market on Thursday for the first time since 1998 to support the damaged yen.
Japan hasn't openly engaged in the foreign exchange market in more than ten years, and it's been more than twenty years since it last supported its currency during the Asian financial crisis in 1997–1998.
Here is a timeline of some of the Bank of Japan's key actions in the foreign exchange markets (BOJ).
 |
| Japanese currency market intervention, central bank, Asian financial crisis, Reuters, TOKYO, currency during, low interest rates. |
Sept 22, 2022 - According to top currency diplomat Masato Kanda, the Japanese government interfered in the foreign exchange market to sell dollars for yen in order to stop the recent steep declines in the value of the Japanese yen. The intervention came after the Bank of Japan decided to keep interest rates at historically low levels.
Sept. 7, 2022 - Hirokazu Matsuno, a top government official, expresses worry about the "rapid, one-sided" changes seen in the currency market as the yen drops below 143 to the dollar. If such movements persist, he claims, the government would prefer to take "appropriate steps." It is the most forceful of several such official remarks that have been made over several months.
Central bank express their concern
June 10, 2022 - In a rare joint statement, the Japanese government and central bank express their concern over recent steep declines in the yen as it drops below the level of 134 per dollar.
Japan steps in in August and October 2011 to prevent profits from stalling the recovery from the economic downturn brought on by the devastating earthquake and tsunami that occurred on March 11, 2011.
Japan steps in in August and October 2011 to prevent profits from stalling the recovery from the economic downturn brought on by the devastating earthquake and tsunami that occurred on March 11, 2011.
March 18, 2011 - When the yen surges to a record high in the wake of the earthquake on the assumption that Japanese companies will repatriate foreign assets to pay for reconstruction, the Group of Seven (G7) nations intervene together to curb the strength.
Sept. 15, 2010 - Japan makes its first currency market intervention in six years by selling yen to restrain the yen's appreciation as the dollar drops to a 15-year low of 82.87 yen.
March 2004 - Japan has spent 35 trillion yen, or more than $300 billion, on intervention during a 15-month campaign to slow the currency's rise.
2002 May–June - With the help of the U.S. Federal Reserve and the European Central Bank, the BOJ intervenes to sell yen (ECB). The yen is still rising.
Sept. 15, 2010 - Japan makes its first currency market intervention in six years by selling yen to restrain the yen's appreciation as the dollar drops to a 15-year low of 82.87 yen.
March 2004 - Japan has spent 35 trillion yen, or more than $300 billion, on intervention during a 15-month campaign to slow the currency's rise.
After the September 11 attacks in the United States, the BOJ steps in to sell yen. The BOJ is represented by the ECB and the New York Federal Reserve.
As a result of concerns that the yen's strength could stifle an economic recovery, the BOJ sold the currency at least 18 times between January 1999 and April 2000, including once through the Federal Reserve and once through the ECB. The yen keeps getting stronger.
As a result of concerns that the yen's strength could stifle an economic recovery, the BOJ sold the currency at least 18 times between January 1999 and April 2000, including once through the Federal Reserve and once through the ECB. The yen keeps getting stronger.
1997–1998 – The yen declines due to the Asian financial crisis, falling to over 148 yen to the dollar in August 1998, despite U.S. authorities joining the BOJ in buying yen.
August 1995 - April 1994 The dollar drops to a post-war low versus the yen and a historic low against the German mark. To support the dollar, the United States frequently works with the central banks of Japan and Europe to intervene.
August 1995 - April 1994 The dollar drops to a post-war low versus the yen and a historic low against the German mark. To support the dollar, the United States frequently works with the central banks of Japan and Europe to intervene.
1993 - To temper the yen's strength, the BOJ sells yen throughout the majority of the year.
The BOJ intervenes between 1991 and 1992 by selling dollars in order to boost the yen.
1988 - In Tokyo trade on January 4, the dollar drops to 120.45 yen, which was then a post-World War Two low. The BOJ steps in by purchasing dollars and offloading yen.
The BOJ intervenes between 1991 and 1992 by selling dollars in order to boost the yen.
1988 - In Tokyo trade on January 4, the dollar drops to 120.45 yen, which was then a post-World War Two low. The BOJ steps in by purchasing dollars and offloading yen.
Post a Comment