So the Bank of Japan have now joined the Swiss National Bank in anger that the markets have bid up their currencies and have decided to reenter the currency race to the bottom. A little over an hour ago they intervened in the market, spending Y500 to drive the USD/JPY up to the 78.50 area from 77, hoping to keep the currency steady in the 79 area. This is a part of the monetary easing scheme the BOJ announced at their rate review that may include asset purchases, and more intervention. The currency warfare has seemingly taken a new step forward, all that remains now is for Bernank to get in on the act with the next iteration of monetization. Madness.