BlockBeats News, August 18th - Sumitomo Mitsui DS Asset Management strategist Masahiro Ichikawa stated that if the Japanese government demonstrates a commitment to fiscal discipline and the Bank of Japan maintains an appropriate pace of interest rate hikes, it can suppress the further depreciation of the yen without needing to repeatedly intervene in the exchange rate.

Ichikawa added that although government intervention is usually difficult to change the overall market trend, the recent intervention has been effective in preventing the yen from rapidly and disorderly depreciating to the 164 level against the US dollar. (Fx678)