Any FX intervention will be aimed at arresting excess volatility

Japan’s Deputy Finance Minister Ryosei Akazawa crossed the wires in the last hour and reiterated that the government will intervene in the FX market to curb excess volatility.

Key Quotes:

  • Don’t have a specific FX level in mind in deciding when to intervene.
  • Any FX intervention will be aimed at arresting excess volatility.
  • We won’t intervene just because the Japanese Yen (JPY) is weakening.

Market Reaction:

The USD/JPY pair, meanwhile, remains on the defensive around mid-150.00s in the wake of subdued US Dollar (USD) price action, though reacts little to Akazawa’s intervention warning.

Source: https://www.fxstreet.com/news/japans-akazawa-any-fx-intervention-will-be-aimed-at-arresting-excess-volatility-202311170211