Why the US stepped in as Japan’s yen hit a 40-year low

Japan and the US have jointly intervened in the currency market for the first time in nearly 30 years to support the weakening Japanese yen. After the yen fell to around 163 per US dollar, its weakest level since 1986, the two countries bought yen and sold dollars, helping the currency recover to around 156. The intervention comes amid a widening interest-rate gap with the US, rising inflation, and concerns over Japan's public finances.