The U.S. coordination to buy yen may have more interests behind it

According to Jinshi, U.S. President Trump stated that the first coordinated buying of yen by the U.S. and Japan is a "signal of friendship." U.S. Treasury Secretary Basant mentioned that the Trump administration would fulfill its commitments to trustworthy partners. However, observers believe that this move involves multiple U.S. interests, including supporting Japanese Prime Minister Kishi Sanae's approval ratings and hoping Japan will implement the $550 billion investment plan in the U.S.

Basant also expressed concerns that Japanese policies could affect the U.S. Treasury market, as the yield on the 10-year U.S. Treasury bond reached a new high on the same day of the yen intervention.