Japan's Finance Minister Shunichi Suzuki Discusses FX Rates, September Rate Cut, and Economic Policy Ahead of LDP Leadership Race

Japan's Finance Minister, Shunichi Suzuki, stated that foreign exchange rates are influenced by various factors beyond just monetary policies. He emphasized the importance of economic growth and fiscal health while seeking a debate on fiscal policy in the upcoming Liberal Democratic Party (LDP) leadership race. Suzuki aligned his views with those of U.S. Federal Reserve Chair Jerome Powell regarding the U.S. economy, indicating a consensus on economic outlooks. He also highlighted the need to protect fiscal discipline and mentioned that factors such as interest rate differentials and geopolitical risks play a significant role in determining foreign exchange rates. Additionally, Suzuki announced plans to closely monitor the effects of foreign exchange rates on the Japanese economy.