Japan to closely monitor yen-dollar moves, Obuchi says

Japan Policy & Politics, July 26, 1999

TOKYO, July 23 Kyodo

Prime Minister Keizo Obuchi said Friday he will keep a close eye on yen-dollar exchange movements. "A strong yen should not be wholly rejected as it represents the strength of the nation," Obuchi told reporters. "In considering what the proper level should be, we have to look at it from various angles. I'm closely watching," he said. Despite some yen-selling, dollar-buying intervention by the Bank of Japan in recent sessions, the dollar showed a downtrend against the yen. The dollar dropped to as low as 116.05 yen Thursday in New York at one point. At midmorning Friday in Tokyo, the dollar traded at 117.11-14 yen. A stronger yen could adversely affect Japan's economic recovery by making Japanese exports less competitive.