FX intervention is warranted if the yen experiences swift fluctuations, according to the head of Japan's business lobby.
Japanese Business Leader Supports Currency Intervention Amid Yen Volatility
Yoshinobu Tsutsui, who leads Keidanren—Japan’s largest business federation—stated on Tuesday that government action to stabilize the yen would be warranted if the currency experiences sharp fluctuations. Speaking at a press conference, Tsutsui expressed approval that recent measures have helped curb the negative impacts of the yen’s significant depreciation. His remarks followed the yen’s recovery after the New York Federal Reserve initiated rate checks.
Tsutsui also noted that the future trajectory of the yen will depend on monetary policy decisions made by both Japan and the United States. He emphasized the importance of the Bank of Japan taking suitable steps in response to these developments.
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