Tokyo confirms bilateral agreement on decisive steps but avoids signaling imminent yen intervention amid stable USD/JPY reaction.
Japanese Finance Minister Katayama confirmed a nearly one-hour call with US Treasury Secretary Bessent on Monday, reaffirming a bilateral pact to take decisive market action. The statement, previously reported through unofficial sources, was framed as a G7 summit follow-up rather than an emergency response to yen weakness.
The language used mirrors Tokyo’s standard phrasing to preserve intervention optionality without committing to a timeline. USD/JPY showed little reaction, indicating traders view the announcement as maintenance of existing frameworks. Katayama declined to comment on FX levels, adhering to protocol despite the yen’s recent trading range.
The call’s duration suggests discussions extended beyond routine post-summit checks, though no specific policy shifts were disclosed.