Yen suddenly jumps, markets on alert for intervention

Published Mon, May 4, 2026 · 01:34 PM

[SINGAPORE] The yen suddenly jumped against the dollar in Asia trade on Monday (May 4), with traders on alert for another bout of intervention after Tokyo likely stepped into the market to shore up the Japanese currency last week.

The US dollar was down 0.54 per cent at 156.22 yen, having fallen nearly 0.9 per cent to a low of 155.69 at one point in choppy trade. Trading was thinned with markets in Japan closed for a holiday.

Investors were wary of further intervention from Japanese authorities, after central bank data on Friday showed Tokyo may have spent as much as 5.5 trillion yen (S$45 billion) bolstering its embattled currency last week.

“It could be them again,” Nick Twidale, chief market strategist at ATFX Global in Sydney, said of Monday’s move.

“Certainly not to the same extent as last week but reinforcing their stance that they will not accept a weak yen.”

Japan intervened to prop up the yen against the US dollar on Thursday, its first official currency action in nearly two years, two sources familiar with the matter told Reuters. REUTERS