On September 25, 2026, the yen surged 1.2% after reports that President Trump expressed concern over the weak yen, marking a notable policy signal from the usually pro-weak-dollar White House. This was followed by verbal intervention warnings from Japanese Finance Ministry officials, which pulled USD/JPY from an intraday high above 159 to 156.94 before settling at ~157.25. [1][2][3]
The USD/AED peg remained stable at 3.6725 with no change during the reporting period as of September 18, 2026, continuing a trend of minimal movement observed earlier in August when USD/AED, HKD/USD, CNY/JPY, and CNY/KRW exchange rates did not move more than 0.5% on August 21, 2026. [4][5]
Earlier in August, hawkish commentary from Warsh on August 28 drove USD strength across FX pairs, causing EUR/USD to fall by 0.57% and breach the >0.5% flag threshold, while USD/JPY breached the 160.00 level intraday and moved +0.52%, triggering a flag due to the intraday breach above 160. [6][7][8][9]
Looking ahead, analysts caution that yen support remains intervention risk-driven rather than fundamentals-driven, meaning the yen will remain vulnerable without a Bank of Japan rate hike, such as a potential September hike to 1.25% that could push USD/JPY toward 152–154. [10][11]}