Governor Haruhiko Kuroda said the Bank of Japan’s unprecedented monetary easing isn’t aimed at manipulating the rate of the yen, which dropped below 101 per dollar for the first time in four years today.
The Bank of Japan may need to provide more monetary stimulus if power shortages, supply chain disruptions and the nuclear crisis after the quake are prolonged, the International Monetary Fund’s No. 3 official said.
Greece’s deepening financial crisis serves as a lesson for Japan, which needs to devise a “credible” fiscal plan to curtail the world’s largest public debt, an International Monetary Fund official said.
The International Monetary Fund is discussing the criteria for adding currencies to its Special Drawing Rights valuation basket made up of the dollar, euro, yen and pound, its number-three official said.
Europe has yet to allay investor “skepticism” about the sustainability of the region’s debt, and any spread of the crisis would cloud the global economic outlook, the International Monetary Fund’s No. 3 official said.
The yen declined against most of its 16 major peers amid speculation the People’s Bank of China will act to support growth in the world’s second-biggest economy, sapping the allure of the relative safety of Japan’s currency.
Japanese Prime Minister Yoshihiko Noda called for talks to contain economic damage from a diplomatic dispute with China as Japan’s largest trading partner downgraded its delegation to an annual gathering in Tokyo.
More than a century and a half after Millard Fillmore dispatched an emissary to Asia to transform commerce across the Pacific, a U.S. president again sees an historic opportunity to strengthen America’s role in the region.