Japan finmin: Closely watching forex impact on economy as yen falls

TOKYO, Jan 7 (Reuters) – Japanese Finance Minister Shunichi Suzuki said on Friday that he was closely watching any impact of currency moves on the economy and that foreign exchange stability was important.

“I won’t comment on the currency market itself, but stability is important above all,” Suzuki told reporters.

“The government will closely watch currency market moves and their impact on Japanese economy following that point,” he said, when asked if the weakening yen was negative for the economy.

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Suzuki made the comment as the dollar hovered near a five-year high to the yen, backed by a surge in U.S. Treasury yields on growing bets for a Federal Reserve rate hike by March.

The U.S. currency stood at 115.88 yen , after hitting Tuesday’s high of 116.355 , amid hawkish rhetoric from Fed officials and a strong U.S. jobs report.

Suzuki, shortly after becoming finance minister under Prime Minister…

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