Japan's August foreign reserves post largest-ever drop after record intervention

Japan’s foreign exchange reserves experienced their largest monthly decline on record during August, following significant government intervention in the currency markets. The Ministry of Finance reported that reserves fell to $1.25 trillion, marking a substantial reduction as authorities acted to stabilize the yen against the U.S. dollar.

This move reflects ongoing efforts by Japanese officials to address currency volatility and defend the yen's value. The scale of the drop highlights the intensity of the intervention measures deployed throughout the month to mitigate the impact of rapid exchange rate fluctuations.