Odd Lots · Thursday, August 6, 2026
The US Treasury, under Secretary Scott Bessett, engaged in an unusual currency intervention to support the Japanese Yen. This intervention notably involved selling euros and utilizing a Federal Reserve repo facility, deviating from typical methods.
“So US Treasury Secretary Scott bessen there was a photo taken of him. Presumably he did this on purpose, one would hope. But he had a to do list and it basically just said buy Japanese yen and he put in the jp wy yeah, five to ten billion.”
“So the US did intervene together with Japan in the yen to stop it from weakening. And what's really interesting about all of this. I mean, we love Big four and currency stories anyway, but what's interesting is this was kind of a new type of intervention. So the US actually sold euros, which was very interesting, and they also used a fed repo facility that I had completely forgotten about as well.”