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MNI BRIEF: BOJ Not Targeting Forex, But Mindful of Impact

TOKYO (MNI)

The Bank of Japan isn't targeting the foreign exchange rate through policy decisions but closely monitors currency movements as it directly impacts asset prices and thus affecting the wider economy and prices, Bank of Japan Deputy Governor Masazumi Wakatabe said Wednesday, noting that Japan's economy has historically weakened due to a strong yen and weaker stock prices.

His comments came in a Q&A session following a speech in Yokahama City.

Officials at the BOJ have been increasingly concerned as the yen strengthened in recent months, although hoping a strengthening of the U.S. economy in 2021 would see the dollar regain some strength.

MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
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MNI London Bureau | +44 203-865-3812 | les.commons@marketnews.com
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