USDJPY: Can Japan use bond tools to support the Yen?

Japanese authorities may have intervened twice in recent weeks to support the yen as it hit its lowest level in decades against the dollar, and they may have used reserves cash to do it.


BofA said a drop in demand for U.S. Treasury bonds could push up interest rates slightly and narrow spreads on the secured overnight lending rate (SOFR), a reference rate tied to mortgage agreements. Convenient to buy overnight.