The Japanese Yen literally collapsed today to levels above 160 Yen to the dollar. The Bank of Japan had no choice but to intervene in the market. And the bank actually acts with a strong intervention towards the end of the Asian session. The yen had reached as high as 160.32 (USDJPY), after which strong intervention by the central bank lowered the rate to 155-157 levels.
The last USDJPY levels of 160.00 and above were back in 1986.
The yen has been in a constant process of depreciation for the past 12 years, and this trend has intensified after the beginning of 2022.
Despite the strong support for the yen from the Bank of Japan, a few hours later the yen already lost about 180 pips. World-Signals.com expects the yen to continue depreciating regardless of central bank support. Levels of 160 yen to the dollar are realistic for the beginning and middle of May.
Source: World-Signals
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