U.S. Stock Futures Slip as Markets Brace for Big Tech Earnings and Key Data 
South Korea Exports Surge in January on AI Chip Demand, Marking Fastest Growth in 4.5 Years 
Asian Markets Slide as Silver Volatility, Earnings Season, and Central Bank Meetings Rattle Investors 
China Manufacturing PMI Slips Into Contraction in January as Weak Demand Pressures Economy 
Asian Currencies Hold Firm as Dollar Rebounds on Fed Chair Nomination Hopes 
Russia Stocks End Flat as MOEX Closes Unchanged Amid Mixed Global Signals 
Dollar Holds Firm as Markets Weigh Warsh-Led Fed and Yen Weakness Ahead of Japan Election 
Japan Election Poll Signals Landslide Win for Sanae Takaichi, Raising Fiscal Policy Concerns 
Canada’s Trade Deficit Jumps in November as Exports Slide and Firms Diversify Away From U.S. 
India Budget 2025 Highlights Manufacturing Push but Falls Short of Market Expectations 
Indonesia Stocks Face Fragile Sentiment After MSCI Warning and Market Rout 
U.S. Government Faces Brief Shutdown as Congress Delays Funding Deal 
China Home Prices Rise in January as Government Signals Stronger Support for Property Market 
Gold and Silver Prices Plunge as Trump Taps Kevin Warsh for Fed Chair 
U.S. Eases Venezuela Oil Sanctions to Boost American Investment After Maduro Ouster 
BOJ Policymakers Warn Weak Yen Could Fuel Inflation Risks and Delay Rate Action 
Japan’s Finance Minister Satsuki Katayama issued the strongest warning yet about the yen’s rapid decline, signaling that currency intervention is a real option if volatility continues. Katayama said recent sharp and one-sided movements in the yen are cause for concern, stressing that exchange rates should move in line with economic fundamentals. He noted that Japan will take “appropriate action” as needed to prevent excessive volatility, in line with the U.S.-Japan agreement signed in September, which allows intervention only to counter disorderly market movements.
When asked directly whether Japan could step into the market, Katayama confirmed that intervention is included as an option in the agreement. Following his remarks, the dollar slipped 0.14% to 157.26 yen in Asian trading, reflecting growing market caution.
The yen’s persistent weakness has become a major challenge for Japanese policymakers, as it raises import costs and increases pressure on households already dealing with higher living expenses. Despite rising Japanese government bond yields, the currency has fallen roughly 6% since Prime Minister Sanae Takaichi took office, partly due to market concerns over the significant borrowing required for her stimulus plans.
Japan last intervened in July 2024, after the yen fell to a nearly four-decade low of around 161.96 per dollar. Before acting then, authorities issued strong warnings that they were prepared for “decisive action.” Analysts believe the government may follow a similar approach this time.
Akira Moroga of Aozora Bank said intervention may occur if the dollar climbs closer to 160 yen, noting that officials appear ready to move quickly if necessary. Hirofumi Suzuki of SMBC echoed this view, saying monetary authorities are unlikely to hesitate if volatility becomes excessive.
As market pressure builds, traders are increasingly watching the 160-yen level as the next critical test and a potential trigger for Japan to take direct action.
