Tokyo’s finance ministry stepped into the foreign‑exchange market on Tuesday, selling dollars for yen as the currency slipped below 152 per dollar. Yen intervention marked the first coordinated action since late 2023, when the Ministry partnered with the Bank of Japan to curb a rapid decline. Traders greeted the move with modest yen gains in early trading.

Currency markets had been rattled by Japan’s widening current‑account deficit and the Bank of Japan’s shift away from ultra‑easy policy, which left the yen vulnerable to speculative selling. Intervention aims to restore confidence among importers and multinational firms that rely on stable exchange rates for profit margins and supply‑chain budgeting in the coming months and beyond.

Analysts will watch whether the yen stabilises above 150 per dollar, a threshold that could deter further foreign‑exchange selling and support equity valuations in Japan’s export‑driven sectors. Should the currency rebound, investors may revisit previously discounted Japanese stocks, while a failed defence could prompt the Ministry to consider larger, more aggressive purchases later this year in 2026.