Japanese Finance Minister said to be closely coordinating with Bernanke on exchange rate policy or representing U.S. tacit intervention.

Japanese Finance Minister Kaori Kasegaya confirmed on Tuesday that her team is closely coordinating with US Treasury Secretary Scott Benson on foreign exchange policy, implying that the United States may have tacitly approved Japan's recent potential market intervention actions. "Regarding the recent exchange rate trends, we confirm that Japan and the United States have been coordinating well and maintaining close communication," Kasegaya told reporters in Tokyo after meeting with Benson on Tuesday. She said, "We also reaffirm that we will continue to closely cooperate on exchange rate issues in accordance with the joint statement issued last September." She also added that the statement clearly states that intervention is one option for addressing excessive fluctuations in the foreign exchange market. "I believe we have gained a full understanding on this point," Kasegaya said. The yen weakened after Kasegaya's press conference, indicating that traders may have higher expectations for the meeting's outcome.