Japan's currency diplomat Mimura urges markets to heed 'very clear' warning on yen
EWJ•Japan's currency diplomat Atsushi Mimura urged markets to take Tokyo and Washington's warning on yen weakness at face value, while declining to comment on further intervention. The yen rose past 157 per dollar to around 156.75 after his remarks.
1. Warning to markets
Mimura said markets should take at face value the “very clear” message Japan and the United States delivered last week on the yen. He said he would watch closely to see whether markets continued to heed it, and said he was neither satisfied nor reassured by the yen's recent moves.
2. Intervention remains possible
Mimura declined to comment on whether Japan might intervene again, but said he had “absolutely no” concern that funding constraints would limit the country's ability to act. The yen rose past 157 per dollar to around 156.75 after his remarks.
3. Policy and bilateral ties
Mimura said the gap between Japanese and U.S. policy rates has been narrowing as a trend. He described the countries' “currency alliance” as part of a broader strong relationship that includes cooperation on economic security, critical minerals and global supply chains.
