None
EN
Scott Bessent signals new era of US currency activism with coordinated yen intervention
['Editorial Team']
Crypto Briefing
The move, confirmed on August 1, involves plans to purchase between $5 billion and $10 billion in Japanese yen.
The yen has been trading at levels not seen in nearly 40 years against the dollar.
Why the US decided to get involvedBessent also proposed upsizing the Federal Reserve’s FIMA Repo Facility as a complementary measure.
The FIMA facility essentially allows foreign central banks to temporarily convert their US Treasury holdings into dollars.
Active US selling of dollars to buy yen is, at the margin, dollar-negative.