JP Morgan Research discusses the latest wave of JPY intervention.

"Japan's MOF appears to have conducted yen-buying intervention again on July 31, following intervention on the 30th. It is highly likely that this year's total intervention amount has already far exceeded the 2024 amount of JPY 15 trillion...The cooperative posture of US and Japanese authorities to prevent yen depreciation appears to be considerably stronger than we had expected," JPM notes.

"The impact of intervention flows on supply-demand dynamics is unlikely to be very large, and the effectiveness of intervention is expected to depend largely on the announcement effect...Given that neither Japan nor the United States appears to have a strong intention to push USD/JPY sharply lower, we see a low likelihood that coordinated intervention would lead to major yen appreciation that takes USD/JPY below 150. Accordingly, for now we maintain our existing USD/JPY targets (3Q26: 160, 4Q26: 164, 2Q27: 164)," JPM ads.