The yen is poised for its largest single-day gain in more than two weeks after the latest remarks from Japan's Finance Minister Satsuki Katayama on the Japanese currency kept traders on alert over the risk of intervention.

On Friday, the yen rose as much as 0.6% to 157.95 per dollar, making it the best performer among G10 currencies.

Katayama said that U.S. President Donald Trump expressed concern earlier this week about the yen's weakness during a meeting with Japanese Prime Minister Sanae Takaichi in New York, providing some relief to market sentiment at a time when the recent renewed strength of the dollar had pushed the yen toward the key psychological level of 160.

The finance minister also said she would continue to coordinate with U.S. Treasury Secretary Bessent.

These remarks may make traders more cautious when betting against the yen, thereby reinforcing the threat that authorities could intervene again if the yen continues to weaken.

"Intervention risk should set a cap on further yen weakness," said Moh Siong Sim, a strategist at OCBC Bank.

"More importantly, the yen may be approaching a turning point, because Trump's concern about yen weakness signals that the U.S. and Japan will strengthen coordination to support the yen."

With markets expecting the Federal Reserve to raise interest rates further, the interest rate differential between the U.S. and Japan is likely to continue widening, putting the yen under pressure once again.

Uncertainty over how quickly the Bank of Japan will continue to tighten monetary policy is also weighing on the yen.

Although officials have emphasized the speed and disorderliness of exchange rate fluctuations rather than any specific exchange rate level, market participants believe that the area around 160 is where intervention risk rises.

After the yen fell below the 160 mark, Japan and the United States conducted their first joint yen-buying intervention since 1998 this summer.

Data from Japan's Ministry of Finance show that as of August 26, Japan spent a record 15.4 trillion yen ($97.4 billion) on intervention that month.

Bessent has also continued to send signals supporting a stronger yen, which may make Japan's warnings have a greater impact on traders than during previous episodes of yen weakness.