Bessent Calms Yen Fears with Contained Market Comment
U.S. Treasury Secretary Scott Bessent downplayed recent yen moves on Sunday, stating they are 'pretty well contained' and not disorderly.
The Japanese currency has been declining rapidly, dipping below the 160-per-dollar threshold last Friday, which is widely seen as a trigger for joint intervention by Japan and the U.S.
Bessent expressed confidence in Bank of Japan Governor Kazuo Ueda's ability to 'do the right thing' on monetary policy with Prime Minister Sanae Takaichi's backing. The BOJ has been under pressure to take action against yen declines, but Bessent was hesitant to provide clear guidance.
Bessent also mentioned his plans to meet Ueda at the upcoming G20 finance leaders' meeting in Asheville, North Carolina, and praised Ueda as a 'great economist' who is 'under-rated in how savvy he is on markets.'