Japan and the United States made a rare joint intervention in the foreign exchange market, driving up the yen's value, which Trump described as "a symbol of friendship."

Japanese Finance Minister Sakanaka Ozuki confirmed on July 3 that Japan and the United States had jointly intervened in the foreign exchange market on July 31 (EDT), pushing for yen appreciation, and did not rule out further coordinated actions depending on market conditions. She stated that this intervention was based on the joint statement by the Japanese and U.S. finance ministers in September 2025, aimed at addressing recent extreme fluctuations and market disorder in the yen's exchange rate. The joint intervention by Japan and the U.S. in the foreign exchange market is extremely rare—marking the first such coordinated action between the two countries in 15 years since the Great East Japan Earthquake in 2011. Trump described the intervention as a "symbol of friendship," indicating that the U.S.-Japan alliance has further extended to support for Japan’s currency; however, he subsequently made jokes about the Pearl Harbor attack again. Since the beginning of this year, the yen has continued to weaken, approaching 164 yen per dollar in late July. Analysts believe the depreciation mainly reflects market concerns over Japan’s fiscal expansion and delayed response from the Bank of Japan’s monetary policy. While forex interventions can only provide short-term stabilization, reversing the yen’s weakness will require Japan to adjust both its fiscal and monetary policies.

Image source: internet

Strong 7.1 Magnitude Earthquake in Kumamoto Prefecture, Japan

Original article: toutiao.com/article/1872606330290249/

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