Overview
- Atsushi Mimura of the finance ministry said Tokyo is in close contact with U.S. authorities, and Finance Minister Satsuki Katayama said officials are monitoring currency moves with urgency.
- A New York Fed rate check on Friday preceded a sharp yen surge to a three‑month high, which traders viewed as a potential prelude to coordinated intervention that would be the first in 15 years if it occurs.
- Prime Minister Sanae Takaichi reaffirmed that her government will act against speculative or extraordinary market movements without providing operational details.
- Yields on 30‑ to 40‑year Japanese government bonds briefly rose above 4%, reflecting investor concern over loose fiscal policy ahead of the February 8 snap election.
- Opposition parties proposed financing a consumption‑tax cut by selling the BoJ’s ETF holdings and tapping FX reserves, while coalition figures warned of risks to U.S. Treasury holdings and central‑bank independence.