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USD/JPY, EUR/JPY Make Clean Breaks Higher as Sakakibara Eyes Y130.00

JPY
USD/JPY and EUR/JPY surge higher still, hitting fresh cycle highs on the back of comments from Japan's former top currency diplomat Sakakibara, as per Reuters:
  • They cite him as saying that Japan should intervene in the currency market or raise interest rates to defend the yen if it weakens beyond 130 to the dollar
  • Authorities don't need to take action yet as the yen's current weakness won't do too much harm to an economy
  • But if the dollar rises above 130 yen, "that could cause problems"

The piece notes that while Sakakibara is not a current minister in Japan, he "retains close contact with incumbent policymakers".

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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