A senior Bank of Japan (BoJ) official crossed the wires in the last hour, citing US President Donald Trump’s tariffs as a cause of volatile market moves.
Key quotes:
- Markets, particularly US stocks, and long-term interest rates, making volatile moves due in part to U.S. tariff policy.
- Unlike during the global financial crisis, we are not seeing a sharp shrinkage of liquidity.
- BOJ will continue to scrutinize market developments and their impact on Japan, and overseas economies.
Market reaction:
The Japanese Yen (JPY) retains its negative bias, which, along with a modest US Dollar (USD) uptick, keeps the USD/JPY pair well bid just below the mid-143.00s.