How Much Does the Yen Have to Fall Before BOJ Intervenes?

The video discusses the decline of the yen since October 31st, following the BOJ's stimulus expansion. It explores historical interventions when the yen was weaker than 125 per dollar, highlighting the significance of this level. Current market analysis suggests a potential move to 125, with hedge funds bullish on the dollar. The possibility of intervention is considered, though the Japanese government supports current central bank policies. Key indicators of intervention include government language signaling readiness to act against speculative moves.

What event triggered the recent decline of the yen against the dollar?

• A natural disaster in Japan

• A trade agreement between Japan and the US

• A change in the US Federal Reserve's policy

• The BOJ's unexpected expansion of stimulus

At what exchange rate did Japan historically intervene in the currency market?

• 130 yen per dollar

• 125 yen per dollar

• 115 yen per dollar

• 110 yen per dollar

Who is Masafumi Yamamoto in the context of the yen's decline?

• A former Japanese trader

• A US Federal Reserve official

• A hedge fund manager

• A current BOJ governor

What might authorities do if the yen falls abruptly?

• Increase interest rates

• Intervene in the currency market

• Reduce government spending

• Implement trade tariffs

What is the stance of the Japanese PM's cabinet regarding the central bank's policies?

• They oppose the policies

• They support the policies

• They are neutral

• They are undecided