BofA update shows where active managers are putting money
Investing.com-- Japan’s Finance Minister Katsunobu Kato on Friday said authorities are alarmed by recent foreign exchange volatility after the yen fell to its weakest levels in four months.
Kato flagged concerns at a press briefing following the USD/JPY pair’s jump to around 150.91 yen per dollar, its lowest level since March 28.
He said speculative trading was particularly troubling and urged that exchange rate moves reflect underlying economic fundamentals.
The decline in the yen came as the U.S. dollar surged this week, marking the greenback’s strongest weekly gain in nearly three years.
Bank of Japan Governor Kazuo Ueda earlier signalled tolerance for the currency weakness. He said in a meeting that current exchange rates are unlikely to have a significant near-term impact on Japan’s inflation outlook.
That comment reinforced markets’ view that the Bank of Japan is not in a hurry to raise interest rates again, contributing to the yen’s slide.