<\/p>\n
Japan\u2019s Chief Cabinet Secretary Yishimasa Hayashi\u00a0said on Thursday that he \u201cwon’t comment on forex levels or forex intervention\u201d but he \u201cwill be ready to take full response.\u201d<\/p>\n
\nImportant for currencies to move in stable manner reflecting fundamentals.<\/p>\n
Rapid FX moves undesirable.<\/p>\n
Closely watching FX moves.<\/p>\n
Expect the Bank of Japan (BoJ) to work closely with govternment.<\/p>\n
Expect BoJ to conduct appropriate monetary policy to sustainably, stably hit its price target, working closely with govt.<\/p>\n<\/blockquote>\n
Market reaction<\/h2>\n
USD\/JPY is testing multi-decade highs near 155.50 despite the Japanese verbal intervention, up 0.04% on the day.<\/p>\n
\n\n\nJapanese Yen FAQs<\/h2>\n
\n\n The Japanese Yen (JPY) is one of the world\u2019s most traded currencies. Its value is broadly determined by the performance of the Japanese economy, but more specifically by the Bank of Japan\u2019s policy, the differential between Japanese and US bond yields, or risk sentiment among traders, among other factors.<\/p>\n<\/section>\n
\n One of the Bank of Japan\u2019s mandates is currency control, so its moves are key for the Yen. The BoJ has directly intervened in currency markets sometimes, generally to lower the value of the Yen, although it refrains from doing it often due to political concerns of its main trading partners. The current BoJ ultra-loose monetary policy, based on massive stimulus to the economy, has caused the Yen to depreciate against its main currency peers. This process has exacerbated more recently due to an increasing policy divergence between the Bank of Japan and other main central banks, which have opted to increase interest rates sharply to fight decades-high levels of inflation.<\/p>\n<\/section>\n
\n The BoJ\u2019s stance of sticking to ultra-loose monetary policy has led to a widening policy divergence with other central banks, particularly with the US Federal Reserve. This supports a widening of the differential between the 10-year US and Japanese bonds, which favors the US Dollar against the Japanese Yen.<\/p>\n<\/section>\n
\n The Japanese Yen is often seen as a safe-haven investment. This means that in times of market stress, investors are more likely to put their money in the Japanese currency due to its supposed reliability and stability. Turbulent times are likely to strengthen the Yen\u2019s value against other currencies seen as more risky to invest in.<\/p>\n<\/section>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n
\u00a0<\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"
Japan\u2019s Chief Cabinet Secretary Yishimasa Hayashi\u00a0said on Thursday that he \u201cwon’t comment on forex levels or forex intervention\u201d but he \u201cwill be ready to take full response.\u201d Additional comments Important for currencies to move in stable manner reflecting fundamentals. Rapid FX moves undesirable. Closely watching FX moves. Expect the Bank of Japan (BoJ) to work […]<\/p>\n","protected":false},"author":2,"featured_media":289302,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[173],"tags":[201,248,251,246,257,276,255,1062,250,252,247,253,249,275,256,254],"class_list":["post-289301","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-others","tag-blockchain","tag-bsc","tag-chainlink","tag-coin","tag-cryptocurrency","tag-currencies","tag-gta","tag-japan","tag-looks-rare","tag-oracle","tag-polygon","tag-quickswap","tag-safe-moon","tag-usdjpy","tag-wallet","tag-wordpress"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/289301","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=289301"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/289301\/revisions"}],"predecessor-version":[{"id":289304,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/289301\/revisions\/289304"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/289302"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=289301"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=289301"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=289301"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}