Yen's volatility sparks intervention suspicion after U.S. CPI data

TOKYO -- The yen surged against the dollar overnight after the release of softer-than-expected U.S. inflation data, sparking speculation the Japanese government and the Bank of Japan intervened to prop up the weak yen.

The yen strengthened to 157.41 after the June U.S. consumer price index showed prices declined 0.1% from the previous month, marking the first monthly drop since May 2020. The yen was trading around 159.30 as of press time.