US Treasury Secretary Bessent: The yen's movement is now under control, and Abenomics may have reached its end.
智通财经2026/08/31 01:06- US Treasury Secretary Bessent stated that the recent movement of the yen is “basically under control” and there is no disorderly fluctuation. Although the USD/JPY fell below the 160 mark last Friday, it was not seen as the type of abnormal volatility experienced during the US-Japan joint intervention in July. He plans to meet with Bank of Japan Governor Kazuo Ueda during the G20 finance ministers' meeting.
- Bessent said he would not tell the Bank of Japan what to do, but pointed out that “Abenomics may have come to an end.” He emphasized that Kazuo Ueda is an “outstanding economist,” believes he will “make the right choice” regarding interest rates, and noted that Ueda’s market insight is underestimated by outsiders.
- Bessent believes Japan has “overcome” deflation and is entering an era of “Takaichi-nomics” under Prime Minister Sanae Takaichi’s leadership. This new paradigm is more favorable to shareholders, especially as it advances large-scale deregulation in the labor market. He suggested Japan “sit back and enjoy the success brought by Abenomics.”
- Sanae Takaichi’s expansionary fiscal policy poses a potential contradiction to the Bank of Japan’s efforts to tighten monetary policy, while also raising market concerns about Japan’s massive debt burden. The 10-year government bond yield reached a 30-year high of 2.945% earlier this month. This statement contrasts with Bessent’s position a month ago, when he viewed intervention as a response to “disorderly” volatility.
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