Forex
Bessent Pressures BOJ for Rate Hike Amid Yen Weakness
US Treasury Secretary Scott Bessent urged Bank of Japan Governor Kazuo Ueda to take 'decisive' monetary steps to combat yen weakness, according to a statement from the Treasury Department.
The meeting between Bessent and Ueda took place on Sunday at the G20 finance ministers' and central bank governors' meeting in Asheville, North Carolina.
Bessent emphasized the importance of sound formulation and communication of monetary policy to anchor inflation expectations and avoid excessive yen volatility.
He also expressed strong support for Japan's decisive market and monetary steps to address the substantial undervaluation of the yen and noted the role of yen weakness in contributing to domestic inflationary pressures in Japan.