Japan says it won’t rule out any steps to deal with excessive yen swings

TOKYO (Reuters) — Japanese Finance Minister Shunichi Suzuki on Thursday said authorities would not rule out any steps to deal with excessive exchange-rate swings.

“We are not just looking at levels themselves such as 152 yen or 153 yen [per dollar] but also analyzing their background,” Suzuki told reporters. “We are looking with a high sense of urgency.”

Suzuki also said excessive currency moves are not desirable and that it was important for currencies to move stably, reflecting fundamentals.

His comments came after the yen weakened past 153 per dollar, the lowest since 1990, following Wednesday’s release of strong U.S. inflation data. The dollar stood at 152.90 yen in Asia on Thursday.

Earlier in the day, Masato Kanda, Japan’s top currency diplomat, said the yen’s recent decline was rapid and that he would not rule out any steps.

But Suzuki and Kanda both declined to say whether the yen’s overnight falls were deemed excessive, and a warning Japan would take “decisive action” against sharp yen declines was not repeated.

“I don’t have any particular (dollar/yen) level in mind but excessive volatility has a negative impact on the economy,” Kanda, who is vice finance minister for international affairs, told reporters.

“Recent moves are rapid,” he said. “We’d like to respond appropriately to excessive moves, without ruling out any options.”

When asked whether authorities were preparing to intervene in the currency market to prop up the yen, Kanda said, “We are always prepared to respond to any situation.”

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button

Get our latest downloads and information first. Complete the form below to subscribe to our weekly newsletter.

    Input this code: captcha