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Global markets are on high alert as Japan’s yen stages its largest move in six months. The move fuels speculation that Japan, potentially with US support, may intervene to stabilize the currency. Sponsored Sponsored Yen Intervention Alert Japan’s Prime Minister, Sanae Takaichi, warned against “abnormal” yen movements, sending the dollar-yen pair tumbling from the brink of 160 to 155.6 per dollar. 🇯🇵 YEN INTERVENTION WARNING SHAKES MARKETS Markets are on high alert after Japan’s Prime Minister Sanae Takaichi warned of action against “abnormal” yen moves, fueling speculation of imminent currency intervention — possibly with U.S. support. Traders reported the New York Fed… pic.twitter.com/JQTWkX0BON — *Walter Bloomberg (@DeItaone) January 25, 2026 Notably, this had been its strongest level of 2026 and the sharpest one-day gain since August. USDJPY Price Performance. Source: TradingView Traders note that short yen positions are at decade highs, heightening the risk of market turbulence if the currency weakens further. “With short yen positions at decade highs and elections approaching, officials appear ready to act again, especially if the currency weakens further,” wrote market commentator Walter Bloomberg. Adding to the volatility, the New York Federal Reserve (Fed) reportedly contacted major banks about the yen. Notably, such a step often seen as a precursor to coordinated currency intervention. Sponsored Sponsored ⚠️Speculation is growing that Japan may step into FX markets to stop the yen’s slide, potentially with US support: As a result, the yen rose +1.75% to 155.6 per US Dollar on Friday, the strongest level in 2026 and the biggest 1-day surge since August. This comes as the New York… pic.twitter.com/GwrHQ2ot1n — Global Markets Investor (@GlobalMktObserv) January 25, 2026 Historical precedent suggests that joint US–Japan action can be highly effective. Past interventions, including the 1985 Plaza Accord and the 1998 response to the Asian Financial Crisis, stabilized the…

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Filed under: News - @ January 25, 2026 9:26 pm