The president Donald Trump confirmed this Sunday afternoon aboard Air Force One that the United States intervened to support the Japanese yen, calling the measure a "sign of friendship" that benefits the U.S. and global economy.
On Friday, the U.S. Treasury intervened jointly with Japan to back the yen, a measure not seen in 30 years. Trump indicated that this happened "because we have a good relationship with Japan" and detailed that Washington will gain a "financial benefit" from the measure, which he described as "good for the global economy."
"We are very strong, very, very strong financially. They have, you know, a weakened yen and wanted a little help. And we are always there for Japan. Japan has been very good to us, with the exception, of course, of Pearl Harbor", declared the Republican mogul.
Before the weekend, the Federal Reserve Bank of New York sold euros to buy yen on behalf of the U.S. Treasury. The intervention came after the yen fell to 163.24 units per dollar last month, its lowest level since 1986.
The Japanese government had already intervened strongly to boost the yen last week. Analysts consulted by the Financial Times estimated that the Japanese government's intervention may have amounted to about 8.45 trillion yen, which is approximately 52.8 billion dollars. The measure marks the first U.S.-Japan effort to support the yen since 1998.
The United States and Japan jointly intervened in the foreign exchange market on Friday
