Reuters Photo Shows US Treasury Secretary's Note to Buy Japanese Yen

US Treasury Secretary Scott Bessent revealed a notepad during a cabinet meeting at Camp David on July 31 that indicated plans to buy between 5 billion and 10 billion US dollars worth of Japanese yen. A photograph taken by Reuters over Bessent's shoulder showed a notepad with the underscored words "To Do" followed by "Buy Japanese Yen (JPY) $5-10 bil". Bessent's name card was visible immediately above the notepad. The image was captured at 11:33 am local time, and video showed the note remained visible 30 minutes later while Bessent spoke.

A US Treasury spokesperson did not immediately respond to requests for comment regarding the note or whether the Treasury intervened to prop up the yen. However, Reuters had reported two hours prior to the photo that the Treasury had notified several banks of potential intervention. The Financial Times reported that the Federal Reserve Bank of New York sold euros to buy yen on behalf of the Treasury. This would mark the first US intervention to prop up the yen since a coordinated G7 action in 2011 following a devastating earthquake and tsunami in Japan.

Japanese authorities also intervened to support the currency earlier that day, leading to a substantial strengthening of the yen. LSEG data shows the dollar dropped from approximately 158.9 yen at 4:14 pm ET to about 157.6 yen just before 5:00 pm, a decrease of about 0.8 percent. Bloomberg News reported that the yen's recent depreciation, which reached its weakest level since 1986, has been driven by factors including rising oil prices.