[Goldman Sachs Questions the Theory of Threats to Dollar Dominance, Says Yen Intervention Has Limited Impact] Deep Tide TechFlow reports that on August 7, Goldman Sachs stated that U.S. support for Japan's efforts to bolster the yen is unlikely to undermine the dollar's status as the world's primary reserve currency. Japan is the largest foreign investor in the $31 trillion U.S. Treasury market. Following last month's joint currency intervention by the U.S. and Japan, some concerns emerged in the market that foreign exchange interventions aimed at preventing sharp fluctuations in the U.S. bond market might weaken confidence in the dollar as a reserve asset. Goldman Sachs noted that such views are based on an assumption that the U.S. might attempt to block other countries from selling U.S. Treasuries in the future. "This seems somewhat far-fetched," strategists including Michael Cahill wrote in a report. "We do not agree with the view that this action will harm the dollar's reserve currency status." (Jin10)