Japanese intervention set to continue

Market participants said this level of spending is set to continue as the Japanese government attempts to maintain a weaker yen to encourage the country's exports.

Mansoor Mohi-uddin, chief currency strategist at UBS in London, noted that the Bank of Japan came into the market selling ¥1 trillion of domestic currency on May 19, when the US dollar tested $1=¥115. When the rate drifted back up towards $1=¥120, intervention stopped. Intervention appeared to be connected to the speed of currency