Yen Spikes Past 160/USD, Stoking Bets on Bank of Japan Intervention

The Japanese yen spiked suddenly after trading had broken above the 160-per-dollar level, according to ZeroHedge, a move that traders read as a sign the Bank of Japan or the finance ministry could be preparing to intervene. The spike came as the G20 meeting was concluding, timing that fed the intervention chatter since currency moves around major international gatherings often draw scrutiny from policymakers. Separately, Berkshire Hathaway vice chairman Greg Abel said rising Japanese bond yields are not a concern for the conglomerate's stakes in Japanese trading houses, according to Yahoo Finance. Berkshire holds large positions in firms including Mitsubishi Corp and Mitsui, and Abel's comment suggests the company sees the trading houses' business as insulated from higher domestic borrowing costs in Japan. What's unresolved is whether the yen move was driven by actual intervention or simply positioning ahead of it. No Japanese official has yet confirmed direct market action.