Calculated move: A man walks through Tokyo’s central business district. The bank of Japan’s currency intervention is not there to move the yen significantly up and down, but rather prevent speculators from triggering volatile moves, says a leading expert. — AFP
TOKYO: Japanese authorities cannot control yen levels with currency intervention but they have various tools to smooth out volatile moves driven by speculators, former top finance ministry bureaucrat Yasushi Kinoshita says.
Japan has been conducting yen-buying interventions since September to prevent a sharp slide in the currency driven by the gap between steadily tighter United States monetary policy and the Bank of Japan’s (BoJ) continued ultra-loose policy.
