Japan's Finance Ministry's Vice Finance Minister for International Affairs Kanda. He is the official who will instruct the BOJ to intervene, when he judges it necessary. Often referred to as Japan's 'top currency diplomat'.
- Concerned about one-sided, sharp fx moves
- Speculative moves seen playing the biggest factor
- Won't rule out any steps to respond to disorderly fx moves
- Did not intervene in FX market last month
- In close contact with authorities internationally on FX
- FX moves affect price stability target
Lobbing in words like:
- one-sided, sharp
- Speculative moves
- disorderly
- Won't rule out any steps to respond
are escalations in language and meant to convey a more serious concern by authorities in Japan.
While I am often dismissive of these sorts of remarks, as I said earlier, hat's off to Japanese authorities, they managed to hold USD/JPY around 150 for weeks without, if they are to be believed, spending anything on intervention.
Masato Kanda