The post Japan does not manipulate the FX market to weaken the Yen appeared on BitcoinEthereumNews.com.

Japan’s Finance Minister Shunichi Kato said on Friday that the country does not manipulate the foreign exchange (FX) market to weaken the Japanese Yen.  Kato said on Thursday after the talks began in Washington that he will closely communicate with the US on FX issues, adding Tokyo and Washington have long agreed that excessive volatility and disorderly moves in currency rates are undesirable. Key quotes Japan’s guidelines in managing its foreign reserves are to avoid causing volatility in markets.Hard to say how US long-term interest rates would move as they will be driven by various factors. Market reaction At the time of writing, the USD/JPY pair is trading 0.04% lower on the day to trade at 142.40.  Japanese Yen FAQs The Japanese Yen (JPY) is one of the world’s most traded currencies. Its value is broadly determined by the performance of the Japanese economy, but more specifically by the Bank of Japan’s policy, the differential between Japanese and US bond yields, or risk sentiment among traders, among other factors. One of the Bank of Japan’s 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 BoJ ultra-loose monetary policy between 2013 and 2024 caused the Yen to depreciate against its main currency peers due to an increasing policy divergence between the Bank of Japan and other main central banks. More recently, the gradually unwinding of this ultra-loose policy has given some support to the Yen. Over the last decade, the BoJ’s 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.…

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Filed under: News - @ April 18, 2025 2:25 am