Bessent Expects BOJ to Take Right Steps on Monetary Policy

US Treasury Secretary Scott Bessent expressed confidence that Bank of Japan Governor Kazuo Ueda will take the right steps on monetary policy. This statement comes ahead of a meeting between Bessent and Ueda at the Group of 20 finance leaders' gathering in Asheville, North Carolina.

Bessent believes the BOJ has reached the end of its Abenomics program, which aimed to stimulate economic growth. The Treasury secretary did not specify what actions he expects the BOJ to take but emphasized that Japan needs to normalize its monetary policy for the yen to find a suitable level.

The yen recently weakened below 160 against the dollar for the first time since Japan intervened in markets a month ago to prop up the currency. The US participated in this intervention, marking its first coordinated move with Japan to support the yen since 1998.