Japan finance minister Kato hints at plans to speak with Bessent on FX this week
Japan finance minister Kato:
* Will hold bilateral meetings with counterparts at G7 finance leaders’ meeting later this week
* Expect to discuss various topics, including FX, if I were to meet Bessent on sidelines of G7 gathering
* Will scrutinise impact of U.S. fiscal, monetary policy on Japan’s economy, when asked about Moody’s downgrade of US debt rating
* In previous bilateral meeting with Bessent, two sides confirmed FX rates should be set by markets and that excess volatility in FX market has adverse impact on economy
* Expect any talks with Bessent this week to be based on this understanding on FX
After its sharp rally USD/JPY just as quickly down again:
This article was written by Eamonn Sheridan at www.forexlive.com.
