Japan warns speculators after yen sets fresh 18-month low

Japan’s finance minister and its top currency official have issued fresh warnings to speculators after the yen weakened to its lowest level against the dollar in 18 months amid reports of a snap general election.

“We won’t rule out any means and will respond appropriately to moves that are excessive, including those that are speculative,” Satsuki Katayama told reporters on Wednesday, in a hint that direct intervention in markets was among the options available. “We’ve mentioned this to the prime minister today as well.”

"The kind of sudden moves we saw on Jan. 9 have nothing to do with fundamentals, and are deeply concerning,” she added. Her message was soon backed up by Atsushi Mimura, the ministry’s top official in charge of the yen, who reiterated that no options were being ruled out.