The Bank of Japan's interventions in the currency market have produced the desired effect on the dollar-yen rate.
After hitting an intraday low of 115.80 yen on Sept. 20, the dollar has climbed past one key threshold after another and is now hovering above 120 yen, a level unseen since last month's terrorist attacks in the United States.
According to Finance Ministry data, the dollar-supporting interventions cost the BOJ more than $20 billion last month alone. When the BOJ openly announced its intentions to keep the yen from rising against the dollar, the move stirred up a lot of skepticism in the marketplace.