DXY and Treasury Intervention

Last time US Treasury intervened in FX markets was March 2011, bought 1 billion JPY, sold usd.

Then Sept 2000 , bought 1.5 billion EUR.

 

Total 2 FX interventions since 1999, based on treasury Quarterly reports.

 

Speculation to Intervene on DXY is ridiculous.

intervention requires movements, non seen.

treasury doesn’t intervene on DXY as major reserve currency.

RBNZ last FX Intervention was 2013, 500 million to adjust NZD. Intervention policy = TWI deviation, Reserves and economic / trade threat.

RBA last fx intervention was crash 2008, Intervened 9 times Oct -Nov then Oct 2007 and Sept 2001.

RBA always announces intervention at 3rd of every month. Always Transacts in AUD.

SNB Threats threats, hardly intervenes. Last major FX Intervention was 2009 to allow EURCHF 1.2009 floor to fall.

BOE not yet sure here. Stay tuned. Basis to intervention is FX Reserves and Gold holdings. All decreased severely since January. Most holdings in premiere JPY, USD and EUR dropped precipitously. Great argument for intervention.

Much intervention in Money markets. Intervention is costly, never clear to results based on academic papers. New intervention is adjust daily and headline interest rates, less costly, guaranteed results. More to follow,

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