© Reuters. FILE PHOTO: Japanese Finance Minister Shunichi Suzuki speaks during the presidency press conference at the G7 meeting of finance ministers and central bank governors, at Toki Messe in Niigata, Japan, Saturday, May 13, 2023. Shuji Kajiyama/Pool via RE
TOKYO (Reuters) - Japanese Finance Minister Shunichi Suzuki said on Friday there were many factors to consider in determining whether moves in the foreign exchange market were "excessive", adding that there were no changes in how the government would deal with them.
Japanese authorities are focusing on the speed of currency fluctuations rather than targeting at any specific levels when they judge any need to intervene in the currency market to stem excessive volatility, analysts say.
Investors often think excessive volatility can be measured over a period of one day or so. But Masato Kanda, Japan's top currency diplomat said this week any excessive moves can be measured as, say, a period since the start of this year, during which the yen weakened by around 20 yen to the dollar.
"There's no change in the government stance," Suzuki said, when asked about intervention and what defines an excessive move.
The minister added that authorities should make a comprehensive judgment on what constitute excessive moves, taking various factors into account.
Suzuki also said the government would continue to make any intervention in stealth, meaning authorities would not make an announcement immediately when they intervene in the currency market.
