Japan and US Vow Continued Coordination on Yen Stability
Japanese Finance Minister Satsuki Katayama met with US Treasury Secretary Scott Bessent on the sidelines of the G20 finance ministers' meeting in Asheville, North Carolina. The two countries agreed to continue coordinating to stabilize the yen's movements.
Katayama emphasized that yen stability is crucial for global financial markets, including the US. He noted that Japan and the US had jointly intervened in the yen last month to temporarily push it away from its weakest level in 40 years, almost 164 per dollar.
The yen has continued to weaken, dropping to around 160 per dollar on Friday after Federal Reserve Chairman Kevin Warsh's remarks fueled expectations of an imminent US interest rate hike. Katayama declined to comment on whether the current level was considered orderly or disorderly.
Bessent had previously stated that the yen's recent movements were 'quite orderly', but Katayama reiterated Japan's position to remain ready to act if market movements became disorderly.