**USD/JPY hovers near 158.3 amid renewed intervention risks, with US Treasury Secretary Scott Bessent and Japanese officials reaffirming close coordination to counter yen weakness.** A July 2026 joint operation— the first since 1998—saw the Treasury deploy funds via the New York Fed to buy yen, helping pull the pair from peaks above 164. Persistent rate differentials, with US yields elevated and BoJ policy at 1.25% after its latest hike, continue to pressure the yen, though market participants price in further BoJ tightening by year-end. Recent verbal warnings from Tokyo and Washington, alongside upcoming IMF/G20 meetings in Bangkok involving key policymakers, heighten the prospect of fresh action if the pair tests higher levels. Trader sentiment reflects these signals, balancing intervention threats against underlying macro drivers like Treasury yields and energy prices.