The US Treasury stepped into the currency market to support the yen, Washington's first such action since 2011
Aug 1, 2026
The Financial Times reported that the US Treasury stepped into the currency market on Friday, 31 July 2026, to support the Japanese yen, marking Washington's first intervention alongside Tokyo in support of Japan's currency in more than a decade, with the yen languishing near 40-year lows. According to the report, which cited people familiar with the matter, the Federal Reserve Bank of New York conducted a sale of euros to buy yen on behalf of the Treasury through Goldman Sachs and Morgan Stanley. The report did not indicate any amount of yen purchased. The US Treasury's last direct support for the yen was in 2011, when Washington coordinated with fellow Group of Seven nations to stabilise markets after Japan's earthquake and tsunami.
Earlier the same day, the US Treasury had informed a number of banks that it might intervene in the yen market and that they should "stand ready for future action", a source familiar with the matter told Reuters. A Reuters photograph of US Treasury Secretary Scott Bessent's notepad during a Cabinet meeting at Camp David in Maryland showed he was contemplating purchases of $5 billion to $10 billion worth of Japanese yen. The notepad in the photo, taken over Bessent's shoulder during an on-the-record portion of the meeting, bears the underscored words "To Do" followed by "Buy Japanese Yen (JPY) $5-10 bil". The Treasury, the New York Fed and Morgan Stanley did not immediately respond to requests for comment, and Goldman Sachs declined to comment.
News of the potential intervention pushed the yen higher against the dollar. LSEG data showed the US dollar fell from about 158.9 yen to about 157.6 yen in late Friday trading, a drop of roughly 0.8 percent. Bank of Japan data released on Friday also indicated Tokyo may have sold as much as $58.97 billion to buy yen on Thursday, 30 July. The dollar index is among the variables affecting the world gold price, and through it Iran's gold and currency markets.
Source
The Straits Times, citing Reuters and Financial Times
Related news
Free Market Dollar Accelerates After News of Kharg Tanker Attack, Reaches 227,000 Tomans
According to Donya-e-Eqtesad, citing EqtesadNews, the US dollar on Iran's free market kept climbing on Saturday, September 5, 2026 (14 Shahrivar 1405), reaching 227,130 tomans at 3:53pm Tehran time. Per the outlet's successive reports, the dollar stood at 223,240 tomans at 11:29am, rose to 224,490 tomans by 12:37pm, and reached 226,110 tomans by 2:14pm, meaning it added nearly 4,000 tomans, about 1.7 percent, in under five hours. The acceleration came almost simultaneously with news, published around 12:29pm, that an Iranian tanker had been struck by the US military near Kharg Island. Sahmino's own live price data showed the dollar at 225,770 tomans at 4:04pm, up 2.13 percent from the prior day, consistent with the reported upward trend. The dollar has now risen more than 6,000 tomans, about 2.8 percent, from Thursday's last recorded rate of 221,000 tomans.
Donya-e-Eqtesad, citing EqtesadNews · Sep 5, 2026
Philippine Peso Hits Record Low Amid Fallout From the Iran War
According to Al Jazeera, the Philippine peso hit an all time low of 62.71 to the US dollar on Friday, September 4, 2026 (13 Shahrivar 1405). Per the report, the currency has lost about 6 percent of its value against the dollar since the start of the calendar year, after earlier hitting a record low of 61.847 on July 24. Al Jazeera attributed the peso's decline to a mix of domestic and international factors: before the war, the Philippines imported nearly all its oil from the Persian Gulf, and in March, Manila declared a state of national emergency after Iran's closure of the Strait of Hormuz disrupted its oil supply. Rising global oil prices have forced Philippine importers to convert more pesos into dollars to buy dollar priced crude. Philip McNicholas, Asia sovereign strategist at Robeco Singapore, said the country's twin fiscal and trade deficits, combined with elevated inflation, have left the currency vulnerable to swings in global risk sentiment.
Al Jazeera · Sep 5, 2026
Free Market Dollar Crosses 223,000 Tomans
According to Donya-e-Eqtesad, citing EqtesadNews, the US dollar on Iran's free market rose on Saturday, September 5, 2026 (14 Shahrivar 1405), reaching 223,240 tomans, a notable increase from Thursday's last recorded rate of 221,000 tomans. Sahmino's own live price data showed the dollar at 223,820 tomans as of 11:29am Tehran time, consistent with the reported figure and up about 1.25 percent from the prior day. Market analysts have linked the dollar's latest jump mainly to escalating Iran-US military tension and a fresh New York Times assessment that Iran is unlikely to accept Washington's terms before US midterm elections.
Donya-e-Eqtesad, citing EqtesadNews · Sep 5, 2026
US Sanctions Turkey's Golden Global Bank Over Alleged Transfer of Iranian Oil Revenue to Quds Force
The US Treasury sanctioned Istanbul based Golden Global Bank on Friday, 13 Shahrivar 1405 (September 4, 2026), according to Khabaronline and Donya e Eqtesad, both citing the New York Post. The Treasury alleged the bank and its subsidiaries moved tens of millions of dollars tied to Iranian oil sales to China, funneling the proceeds to the Islamic Revolutionary Guard Corps Quds Force through an exchange network known as Rahbar. Per the report, Golden Global Bank, founded in 2019 and describing itself as Turkey's first interest free investment bank, is the country's 35th largest bank with about 517 million dollars in assets. John Hurley, the Treasury's acting under secretary for terrorism and financial intelligence, said the institution had received repeated prior warnings. Treasury Secretary Scott Bessent said the effort will continue until the international community stops supporting Iran. The Treasury said this marks its first direct sanction of a Turkish bank and has cut the bank's access to the international financial system.
Khabaronline, citing New York Post · Sep 4, 2026