Bessent urges BOJ chief to combat weak yen with ‘decisive’ monetary steps
The US joined Japan in a rare joint yen-buying intervention in July to prevent a currency and bond selloff from spilling into global markets.
US Treasury Secretary Scott Bessent urged Bank of Japan Governor Kazuo Ueda to take decisive monetary actions to combat a weak yen, during a meeting at the G20 finance ministers and central bank governors meeting in Asheville, North Carolina. Bessent emphasized the importance of sound policy to anchor inflation expectations and curb yen volatility, in line with previous calls for the BOJ to raise interest rates.
The meeting comes as a weak yen has driven up import prices and inflation in Japan, putting pressure on households and policymakers. The US and Japan previously held a joint yen-buying intervention on July 31, but it has not adequately stabilized the currency. Bessent's comments are expected to pressure the BOJ into raising borrowing costs at its September meeting, potentially sparking a trend of quarterly rate hikes under the current tightening cycle that began in 2024.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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- Bessent urges BOJ chief to combat weak yen with 'decisive' monetary steps channelnewsasia.com
- Bessent urges BOJ chief to combat weak yen with ‘decisive’ monetary steps freemalaysiatoday.com
- Bessent urges BOJ chief to combat weak yen with ‘decisive’ monetary steps japantimes.co.jp
