I posted this call on 145 being the level to watch earlier:

HSBC have also tipped 145 as the level to watch for government intervention to support the yen.

  • Analysts at the bank say that the m/m change seen in USD/JPY prior to the intervention in September 2022 had a range of 6% to 8%.
  • And note that recent movements show a 4% to 5% range .... but if USD/JPY rose above 145 that'd hit the 6% m/m level
usdyen 145 level intervention


The Ministry of Finance (MOF) in Japan is responsible for formulating foreign exchange policy in the country, while the Bank of Japan (BOJ) is responsible for executing such policies, particularly in terms of FX intervention.

The MOF can decide to intervene in the FX market if it believes (in the current situation) the yen is too weak. Once the MOF decides to intervene, it gives instructions to the BOJ. The BOJ then conducts operations in the FX market by (in current circumstances) buying yen.

The BOJ's operations are usually conducted through commercial banks that deal in the foreign exchange market. They may be spot transactions, or forward transactions that are set to occur at a future date.

Note that while the MOF has the ultimate authority to decide when to intervene, it does so in close consultation with the BOJ. The BOJ provides expertise and advice on monetary and financial market conditions, which can influence the MOF's decision. This collaboration reflects the balance between the roles of the two entities: the MOF as the government's chief financial and economic advisor, and the BOJ as the country's central bank that maintains stability in the financial system.