Japan's Currency Diplomat Sounds Alarm Over Yen Surge

Japan's top currency diplomat, Atsushi Mimura, expressed concern over the yen's recent surge against the US dollar. Speaking to reporters on Thursday, Mimura stated that he is 'neither reassured nor satisfied' with the yen's current levels in the currency market.

Mimura emphasized the need for vigilance, saying 'I think we need to stay on high alert.' This warning comes after the yen rose above 160 yen against the dollar in recent trading. The dollar slipped to the lower 156 yen range in Tokyo, with market players anticipating a potential interest rate hike by the Bank of Japan at its September 17-18 policy meeting.

Mimura's comments follow his attendance at a Group of 20 finance and central bank chiefs meeting earlier this week. Financial markets remain wary of possible currency intervention by the government and the Bank of Japan, after authorities stepped in to prop up the yen when it stayed above 160 yen in late July.