Get 40% Off
🤯 Perficient is up a mind-blowing 53%. Our ProPicks AI saw the buying opportunity in March.Read full update

Japan Finance Minister Suzuki reiterates warning against excessive FX volatility

Published 09/27/2023, 10:29 PM
Updated 09/27/2023, 10:31 PM
© Reuters. Japan's Finance Minister Shunichi Suzuki walks on the day of the cabinet reshuffle at the Prime Minister's office in Tokyo, Japan September 13, 2023. REUTERS/Issei Kato

By Tetsushi Kajimoto

TOKYO (Reuters) - Japan won't rule out any options to deal with excessive currency volatility, Finance Minister Shunichi Suzuki said on Thursday, reiterating a warning against speculative moves on the yen which is struggling near 11-month lows against the dollar.

Suzuki declined to respond when asked whether the government had any plans for making rate checks, usually a prelude to an intervention.

The yen has depreciated to near 150 per dollar, a level seen by financial markets as a red line that would spur Japanese authorities to intervene, like they did last year.

However, analysts are sceptical whether intervention could alter the tide of yen weakening given the divergence in monetary policy between the United States and Japan, with the Federal Reserve keeping rates elevated while the Bank of Japan sticks to monetary easing.

Suzuki has repeated a similar warning earlier this week, seen by markets as an indication of Tokyo's discomfort with the yen's persistent weakness.

"It's desirable for currencies to move stably and excessive volatility is undesirable," the minister told reporters at his ministry.

"If excessive volatility arises we won't rule out any options and respond appropriately. To achieve that end, we are carefully monitor moves with a sense of urgency."

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.