Japan has ’free hand’ in dealing with excessive yen moves, finance minister tells Bloomberg
NeutralFinancial Markets

- Japan's Finance Minister Satsuki Katayama stated that the country has a 'free hand' to take decisive action in the foreign exchange market to address excessive yen fluctuations, particularly in light of the yen's continued decline despite rising interest rates. This statement underscores Japan's readiness to intervene if necessary to stabilize its currency.
- The minister's remarks highlight the government's proactive stance in managing currency volatility, which is crucial for maintaining economic stability and investor confidence in Japan's financial markets.
- This development occurs against a backdrop of rising inflation rates and increasing foreign investment in Japan's bond market, which have contributed to market volatility. The interplay between government spending initiatives and monetary policy discussions at the Bank of Japan further complicates the economic landscape, as stakeholders navigate the risks of a potential 'negative spiral' in the markets.
— via World Pulse Now AI Editorial System







