Yen Jumps Suddenly Against Dollar as Traders Watch for Possible Japan Intervention

The Japanese yen suddenly jumped against the U.S. dollar on Thursday, prompting traders to stay alert for possible intervention by Japanese authorities to support the currency. According to Jin10, it was unclear what triggered the market move and whether Japanese authorities entered the market to intervene. The size of the move appeared smaller than the swings seen after several previous rounds of intervention. Hirofumi Suzuki, chief FX strategist at Sumitomo Mitsui Banking Corp., said it was not clear whether the move reflected intervention. He added that, as reported, authorities may have shifted their intervention strategy and tactics and may no longer signal intervention in advance, which could make it harder for the yen to weaken further.