TOKYO - Japan's top currency diplomat, Atsushi Mimura, said Thursday there are no limits on how often Tokyo can intervene in foreign exchange markets to support the yen. Mimura, the vice finance minister for international affairs, confirmed he is in daily contact with US counterparts ahead of Treasury Secretary Scott Bessent's visit to Tokyo next week.
Mimura declined to comment on Bessent's visit but stressed that US authorities "fully understand our thinking and our actions." He added that Tokyo remains focused on speculative moves in the currency market.
Bessent is scheduled to meet Prime Minister Sanae Takaichi, Finance Minister Satsuki Katayama, and Bank of Japan Governor Kazuo Ueda during his three-day visit. Markets are watching for any remarks from Bessent on the yen and BOJ policy, given his past support for faster rate hikes.
Sources say authorities likely intervened last Thursday, spending roughly $35 billion to prop up the yen. Since then, the yen has seen sharp spikes, hitting 155.00 per dollar before settling around 156.20 on Thursday.
Mimura also clarified that International Monetary Fund guidelines classifying Japan's exchange rate as free-floating do not limit intervention frequency.