Japan finance minister Kato is couching his comments in terms of "FX' but we all know he is talking about JPY.

  • Did not discuss with US FX target, framework to control FX moves
  • Discussed with US need for constructive discussion on FX
  • No discussion whatsoever with US on where FX levels should be
  • Confirmed with US during earlier meeting with Bessent FX moves should be set by markets, excessive FX volatility undesirable
  • Japan is not manipulating yen, must explain this thoroughly to US

more to come

USD/JPY surged with the double impact of a recovering USD and a post-BoJ dropping yen:

usdyen kato verbal intervention 02 May 2025 2
Source: Forex Live