Finance Minister Shunichi Suzuki has stated that the recent meeting with his U.S. and South Korean counterparts has set the stage for Tokyo to respond to extreme yen movements. This is the most explicit warning to date about the possibility of currency intervention.
During a parliamentary session on Tuesday, Suzuki expressed deep concern over the impact of a weak yen on import costs. He emphasized that his concerns were not only conveyed during a bilateral meeting with his South Korean counterpart, but also during the trilateral meeting involving the United States.
Suzuki acknowledged that these discussions have created an environment for Japan to take appropriate action in the currency market, although he refrained from specifying the nature of such action.
