Yen intervention = US self-preservation

In the United States, on 4 August 2026, Scott Bessent explained why the US helped Japan strengthen the yen. He said the US intervened to contain Asia currency risks, and that the yen’s level is a problem for Japan and other currencies. The Financial Times wrote that the intervention signals a new era of US ‘currency activism’.

The Wall Street Journal wrote that Bessent is leaning on the Fed to help prop up the yen, and Bloomberg wrote that it would boost US pressure on Japan over trade and rates. A former BOJ official said Japan and the US are likely to intervene again if the yen resumes its slide.