Suzuki, Japan’s Finance Minister, Calls for Stability in FX Rates


Japan’s Finance Minister has made verbal comments regarding intervention in the Japanese yen (JPY) market. He stated that currency rates should be determined by the market and emphasized the undesirability of rapid foreign exchange (FX) fluctuations. The Minister expressed a sense of urgency in closely monitoring FX movements and highlighted the possibility of taking steps to respond to disorderly FX movements. Additionally, he shared the international view that excessive FX volatility should be avoided.

The Finance Minister’s statement underscores the Japanese government’s stance on allowing the market to dictate currency rates. This approach aligns with the norms of free market principles, suggesting that Japan will not intervene in the JPY market to artificially influence exchange rates. However, the Minister emphasized the importance of stability by expressing concern over rapid FX movements. By closely monitoring these fluctuations, Japan intends to ensure that the currency market remains orderly. Should disorderly movements persist, the government remains open to taking necessary steps to address the situation.

It is noteworthy that Japan shares the view of international authorities that excessive FX volatility is undesirable. This implies a collective understanding among global financial institutions that extreme fluctuations in currency values can have adverse effects on economies. The Finance Minister’s statement reaffirms Japan’s commitment to stability in the FX market and its willingness to cooperate with international authorities in addressing any disruptions. These comments serve as a reminder of the Japanese government’s dedication to promoting a stable and predictable economic environment for both domestic and international stakeholders.

Source link

Share post:




More like this

Bungie’s Morale Plummets with Sony Takeover Looming

Sony's acquisition of Bungie for $3.6 billion in 2022...

Google upgrades Bard chatbot with next-gen AI model Gemini in major update.

Google is updating its generative AI chatbot, Bard, with...

Apple to escape EU crackdown on iMessage under 13 words

The European Union is considering granting Apple Inc.'s iMessage...

GTA 6 Trailer boosts popularity of 70s rocker Tom Petty in streams

The highly anticipated trailer for Grand Theft Auto 6,...