Japan Govt, BOJ Vow to Fight Excessive Forex Moves

Economy Politics

Tokyo, Jan. 4 (Jiji Press)--Senior Japanese government and Bank of Japan officials vowed on Friday to respond appropriately to excessive foreign exchange market moves that deviate from economic fundamentals through cooperation with monetary authorities of other countries.

The officials from the Ministry of Finance, the Financial Services Agency and the BOJ confirmed the policy at an emergency meeting, held after the dollar plunged below 105 yen in New York earlier this week and stock prices in Japan and abroad took a drubbing.

The benchmark 225-issue Nikkei average on the Tokyo Stock Exchange plummeted on Friday, the first market day of 2019 in Japan, due partly to the yen's rapid rise against the dollar.

It is rare for Japan's government and central bank to hold such a meeting soon after the beginning of a new year.

The government and the BOJ met twice late last month to exchange views on plunging stock prices, in a bid to show their resolve to prevent excessive fluctuations on financial markets.

[Copyright The Jiji Press, Ltd.]

Jiji Press