Japan Readies to Act as Yen Nears Four-Decade Low Against Dollar

Japan's Finance Minister Satsuki Katayama has signaled that Tokyo is prepared to take action in foreign-exchange markets if necessary, as the yen approaches a four-decade low against the US dollar.

The warning comes after the US Treasury Department stated that 'excess volatility in the yen is undesirable.'

Katayama said Japan and the United States remain aligned on the issue, with the two sides engaging in constant communication. The Finance Minister renewed the warning as the dollar moved close to 164 yen, leaving the Japanese currency near its weakest level in four decades.

Katayama stated that Tokyo would take 'resolute actions decisively' if necessary, reiterating Japan's commitment to intervening in currency markets to counter excessive volatility.