Tag Archives: Currency Japan

Moves by China on Yuan are Good for Japan

China’s move to make trading of its currency more flexible was a positive step that would help buoy the country’s domestic demand, a senior Japanese government official said on Monday.

Japanese officials also said Japan has yet to pledge its contribution to the International Monetary Fund, but was still considering an increase in funding to help it deal with Europe’s debt crisis while watching the stance of other countries.

China took a key step in turning the yuan into a global currency on Saturday by doubling the size of its trading band against the dollar, pushing through a crucial reform that further liberalises its nascent financial markets.

Read the rest of the story: Japan welcomes Chinese move on yuan.

As yen surges, Japan warns of possible currency intervention

Japan warned Friday that it would consider intervention in the foreign currency market as a means to protect its disaster-hit economy, which is being held back by the strong yen.

The yen hit a four-month high of 77.50 against the dollar in Asia on Friday, as traders sought safer investments over concern that the United States was close to defaulting on its debt obligations.

The surge in the yen led Finance Minister Yoshihiko Noda to suggest that the currency’s strength gave a misleading picture of the Japanese economy.

Read the rest of the story: As yen rises, Japan warns of possible currency intervention.