Forex
Bessent Signals Strong Chance of BOJ Rate Hike in September
US Treasury Secretary Scott Bessent believes Japan's government and central bank will take action to strengthen the yen, which could lead to a Bank of Japan interest rate hike in September.
Bessent made his comments during a Group of 20 finance leaders' gathering in Asheville, North Carolina. He stated that he has information that the market doesn't have, and it's his belief that the Japanese government and BOJ will do the things that will lead to a stronger yen.
When asked if this meant raising interest rates, Bessent replied, 'I think the market's pricing that in now.'
The US dollar stood at 159.75 yen on Monday, still close to the 160 mark that is seen as heightening the chance of yen-buying intervention.