Speculation is heightened that Japanese authorities could take advantage of U.S. holiday-thinned trade on Friday to intervene against the yen's weakness, Rabobank's Jane Foley says in a note. Indeed, it could be a bigger surprise if no action is taken, she says. Further interventions might look inevitable but they are unlikely to be sufficient on their own to change the market's negative views on the yen, she says. The yen's weakness partly reflects a stronger dollar but gains in Japanese stocks could be prompting foreign investors to increase their protection against the risk of the yen falling, she says. The dollar is steady at 162.49 yen after hitting a 40-year high of 162.83 earlier, LSEG data show. (renae.dyer@wsj.com)
Dow Jones Newswires
Yen Interventions Highly Anticipated Friday But Could Prove Ineffective — Market Talk
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Speculation is heightened that Japanese authorities could take advantage of U.S. holiday-thinned trade on Friday to intervene against the yen's weakness, Rabobank's Jane Foley says in a note. Indeed, it could be a bigger surprise if no action is taken, she says. Further interventions might look ine…