Japanese yen nears 38-year low as markets eye intervention and US inflation data

The Japanese yen remained near a 38-year low against the US dollar, at its weakest level since 1986. The decline of the Japanese yen, about 12% for the year, highlights the widening interest rate differentials between Japan and the US. This downward pressure has kept markets on high alert for potential intervention from Japanese authorities, especially after the Ministry of Finance spent nearly 9.79 trillion yen in late April and early May to prop up the currency.

Find out why and the potential intervention by the Japanese authorities.