The yen briefly strengthened by more than ¥1 after the Bank of Japan apparently conducted a rate check, considered a preparatory step for foreign-exchange intervention. People familiar with the matter have disclosed details of movements in the foreign-exchange market on the night of the 18th.
Last night, the Bank of Japan reportedly conducted a rate check, considered a preparatory step for foreign-exchange intervention, and the yen temporarily strengthened by more than ¥1. Information that the BOJ had carried out a preparatory rate check circulated in the market.
In the foreign-exchange market, the yen rapidly strengthened after initially weakening despite the BOJ raising interest rates that day. People familiar with the matter said the move was seen as reflecting heightened vigilance by the government and the BOJ over market volatility.