Yen on intervention watch as Tokyo holiday thins liquidity, a recipe the Ministry of Finance likes!
USD/JPY — All Desk Targets
| Firm | Stance | YE 2026 |
|---|---|---|
Goldman Sachs | Bearish | 165.00 |
MUFG | Bullish | 152.00 |
J.P. Morgan | Bullish | 142.00 |
All 23 desk targets for USD/JPY
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USD/JPY trading near 162.50 with Tokyo closed for a holiday puts the pair firmly back in territory that has previously drawn Ministry of Finance action, and the reduced liquidity typical of a Japanese holiday session raises the risk of outsized moves in either direction. Trading
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4 itemsYen intervention risk lingers as Japan eyes fragile calm into Monday
Latest yen intervention starting to develop a bit of a pattern
The desk believes that the recent interventions by the Bank of Japan (BOJ) indicate a growing pattern of resistance against a weakening yen, particularly as USD/JPY approaches critical levels. Per the full note [source], the Ministry of Finance (MOF) appears to be actively managing the currency, with recent interventions reportedly costing around $35 billion. This aligns with our view that the yen's fundamental backdrop remains overwhelmingly negative, complicating the MOF's efforts to stabilize the currency. With the current consensus target for USD/JPY at 1.075, traders should remain vigilant as the market navigates these interventions.