The U.S. Treasury intervened to support the yen on Friday through outright purchases, the Financial Times reported, joining ?Japan in its efforts ?to boost ?the currency from near 40-year ?lows.
The Federal Reserve Bank of New York conducted a sale of euros to ?buy yen on behalf of the Treasury ?through Goldman Sachs and Morgan Stanley, the FT said, citing people ?familiar with the ?matter.
Earlier on Friday, the U.S. Treasury informed a ?number of banks ?that it might intervene in ?the yen market and that ?they should ¡°stand ?ready for future action,¡± a source familiar with the matter said.
News of the potential intervention by ?the Treasury helped push the yen higher against the dollar on Friday. Japan may have sold as much as $58.97 billion ?to ?buy yen on Thursday, central bank ?data indicated on Friday, signaling ?repeated efforts to stem the yen¡¯s weakness.
The Treasury, New York Fed and Morgan Stanley could not immediately be ?reached for comment outside regular business hours. Goldman Sachs declined to comment.?
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