The reason Japan’s yen exchange rate intervention never works is because the Ministry of Finance and Bank of Japan cancel each other out. The MoF buys Yen to strengthen it, but the BoJ is buying government bonds with printed money, weakening the Yen. Japan plays chess against itself

“The reason Japan’s yen exchange rate intervention never works is because the Ministry of Finance and Bank of Japan cancel each other out. The MoF buys Yen to strengthen it, but the BoJ is buying government bonds with printed money, weakening the Yen. Japan plays chess against itself”

by jjrs