USD/JPY eased below 159.00 after hitting 159.45 overnight, prompting fresh warnings from Japanese Finance Minister Satsuki Katayama against speculative or excessive yen movements, BBH FX analysts report.
Snap election talk fuels currency volatility in Japan
“USD/JPY slipped under 159.00 after hitting 159.45 overnight, its highest level since July 2024. Japanese Finance Minister Satsuki Katayama issued a fresh warning against excessive yen moves.”
“Katayama said “We won’t rule out any means and will respond appropriately to moves that are excessive, including those that are speculative…The kind of sudden moves we saw on Jan. 9 following a newspaper report of a snap election have nothing to do with fundamentals, and are deeply concerning.” Japan’s chief currency official Atsushi Mimura echoed Katayama’s comments.”
“Meanwhile, Japanese Prime Minister Sanae Takaichi is expected to dissolve the lower house of the legislature on January 23, paving the way for a snap election in February. Takaichi will give further details on Monday, according to Hirofumi Yoshimura, co-head of junior coalition partner Ishin.”
Source: https://www.fxstreet.com/news/usd-jpy-slips-after-hitting-july-2024-highs-bbh-202601141135
