Japan’s Katayama says undervalued Yen generally poses problems
Japanese Finance Minister (FM) Satsuki Katayama said on Tuesday that she believes that undervalued Japanese Yen is problematic, while saying that she agreed with Treasury Secretary Scott Bessent to beef up cooperation when asked about phone talks on September 25.
Key quotes
Agreed with Bessent to beef up cooperation when asked about phone talks on Sept 25.
We believe that undervalued yen, in general, is problematic.
Will continue close communications with US treasury to ensure orderly forex markets.
Takaichi's administration is not reflationary.
Interest rates are determined by markets.
We believe that undervalued yen, in general, is problematic.
Will communicate closely with bond markets, conduct appropriate debt management policy.
Will communicate closely with market participants while maintaining high sense or urgency.
Market reaction
At the time of writing, the USD/JPY pair is up 0.05% on the day at 157.45.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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Variational open interest has exceeded $2 billions.
