Investors are beginning to anticipate another round of market intervention by the Bank of Japan (BOJ) this week due to the unyielding rise in the value of the yen (JPY) these past few weeks. The move will need to be significant if it is to deter further yen buying in this depressed market, however.
Whether this intervention materializes has become a main point of debate for market analysts who have been expecting an intervention for over a week now. As the USD/JPY falls to new lows near 75.00 and beyond, speculators have begun to attempt a forecast at the impact it will have on Japan’s exports, thus increasing the pressure for another round of intervention.