# Explainer: Why has Japan not intervened yet to support yen?

> An explainer examines why Japan had not yet intervened to support the yen. It notes that the Fed was close to cutting rates while the Bank of Japan planned gradual hikes, so the roughly 5 percentage point interest rate gap between dollar and yen should narrow over time.

- Date: 2024-07-11 · published 2024-07-11T12:00:00.000Z
- Category: macro · region Japan · magnitude low
- Page: https://feedsoft.ai/events/29530-explainer-why-has-japan-not-intervened-yet-to-support-yen
- Commodities: [Japanese Yen (JPY per USD)](https://feedsoft.ai/c/USDJPY.md)

## Why it matters

A narrowing rate gap would support the yen and weigh on the dollar over time, which is a background currency factor for dollar-priced feed commodities rather than a direct supply shock.

## Read by commodity

- USDJPY: neutral

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/why-has-japan-not-intervened-yet-support-yen-2024-07-11/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.